Wednesday, 20 August 2025 Reading time : 3 minutes

Kühne + Nagel, Givaudan, and Nestlé are among the laggards in Switzerland's leading index SMI this year. The trio's share price performance over the past two years has also been mixed. However, this starting position offers catch-up potential, which is also reflected in analysts' assessments.

Nestlé shares have lost around 25% over the past two years (as of August 19, 2025, total return), while the SMI has gained 20% over the same period. Despite increased organic growth in the last six months, high raw material costs and currency effects continue to weigh on results. It remains to be seen how the food company will perform in the future, but the Bloomberg analyst consensus is optimistic. The price target for the next twelve months is CHF 85.84, while Nestlé shares currently trade around CHF 73.

Kühne + Nagel shares have also dropped significantly over the past two years, falling by around 30%. A volatile market environment and negative currency effects have impacted results, particularly in the last half-year. Nevertheless, the current price level could offer an opportunity to benefit from possible positive developments. Bloomberg's price target for Kühne + Nagel over the next twelve months is estimated at CHF 182.83, while the current price level is about CHF 171.

Unlike Nestlé and Kühne + Nagel, shares in Givaudan have risen by over 27% in the last two years, thereby outperforming the SMI. The equities performed particularly well between mid-2023 and the end of 2024, but have since declined considerably and are now back at their end-of-2023 level. It remains to be seen whether Givaudan can match its strong performance despite the challenging market environment. Bloomberg's expected price target for the next twelve months is CHF 4'060.87; Givaudan is currently trading at around CHF 3'375.

Investors who believe the three equities will recover but want to minimise the risk of loss may be interested in the capital protection note on Nestlé, Kühne + Nagel and Givaudan. The product guarantees 97% capital protection at maturity, while investors participate 100% in the upside. Participation is based on the performance of the stock with the lowest price gains at maturity, not the overall performance of the basket of shares.

All three stocks are rated “overweight” by Zürcher Kantonalbank Research.

Capital Protected Note on Givaudan, Kühne + Nagel, Nestlé

Termsheet
Term: 24 months
Capital protection: 97%
Participation (worst of): 100%
Valor: 147 479 733

Indicative terms

 

Disclaimer
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