July 18 (Bloomberg) -- Chr. Hansen A/S fell the most in ten days after SEB AB said investors should switch to rival Novozymes A/S as the world’s biggest maker of dairy enzymes may provide a “soft” profit forecast for next year.
Chr. Hansen slid as much as 2.4 kroner, or 1.2 percent, to 197 kroner, its steepest decline since July 8. It traded down 1.1 percent at 197.2 kroner at 12:34 p.m. in Copenhagen, with trading volume at 15 percent of the three-month daily average.
Chr. Hansen has “more consensus downgrade risk than upgrade potential over the next 12 months,” Soeren Samsoe, an analyst at SEB in Copenhagen said in a note to clients today. The company may give “soft 2013/14 guidance in its full-year results in November,” he added.
Chr. Hansen fell the most since its 2010 initial stock sale on July 3 after cutting its full-year sales forecast on lower prices for the red pigment carmine. Weaker demand for probiotics for yogurt in North America and Europe also stifled growth, while a large customer in South America switching to a synthetic alternative to Chr. Hansen’s natural coloring will weigh on fourth-quarter sales, the company said then.
SEB lowered its recommendation on the shares to hold from buy on April 3, with a 12-month price target of 200 kroner, according to data compiled by Bloomberg.
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