Veolia Environnement SA, Europe’s largest water company, fell for a fourth day in Paris trading, the worst performer in the Stoxx 600 Utilities Index.
The stock dropped as much as 4.2 percent and traded at 12.885 euros at 3:23 p.m. local time. That brings the four-day decline to 7.6 percent and comes a day after Bryan, Garnier & Co. cut Veolia’s rating to neutral. It cited limited upside potential after shares had risen sharply this year and a possible delay in plans for redundancies at the water utility.
Veolia’s third-quarter results on Nov. 7 may trigger further cuts to analyst earnings estimates, questions about the net benefit from cost-cutting and doubt about the pace of its recovery into 2014, Bank of America Merrill Lynch analysts wrote Oct. 18. With today’s drop, the stock has risen 41 percent this year.