Report
Philip Gorham, CFA, FRM
EUR 101.80 For Business Accounts Only

Reckitt is building a business with pricing power and wide margins.

RB's third-quarter trading update showed that the firm is performing in line with our expectations for the full year on an organic basis. The bigger news, however, was the announcement of a restructuring of the business, which we believe may be a precursor to further transformative portfolio changes. We are reiterating our wide moat rating and our GBX 7,400 fair value estimate. Although RB is having a tough year, we think the pricing power inherent in the consumer health business will drive abov...
Underlying
Reckitt Benckiser Group plc

Reckitt Benckiser Group develops, acquires, produces, distributes and promotes consumer products in the health, hygiene and home categories. Co.'s health category covers treatment products such as pain and flu, and also wellness products in sexual wellbeing, footcare, vitamins and supplements. Co.'s hygiene category consists of personal and home hygiene products. Co.'s geographical segments comprise Europe (ENA) and Africa, Middle East (DvM). ENA comprises Europe, Russia/CIS, Israel, North America, Australia and New Zealand. DvM principally comprises North Africa, Middle East (excluding Israel) and Turkey, Africa, South Asia, North Asia, Latin America, Japan, South Korea and ASEAN.

Provider
Morningstar
Morningstar

Morningstar, Inc. is a leading provider of independent investment research in North America, Europe, Australia, and Asia. The company offer an extensive line of products and services for individual investors, financial advisors, asset managers, and retirement plan providers and sponsors.

Morningstar provides data on approximately 530,000 investment offerings, including stocks, mutual funds, and similar vehicles, along with real-time global market data on more than 18 million equities, indexes, futures, options, commodities, and precious metals, in addition to foreign exchange and Treasury markets. Morningstar also offers investment management services through its investment advisory subsidiaries and had approximately $185 billion in assets under advisement and management as of June 30, 2016.

We have operations in 27 countries.

Analysts
Philip Gorham, CFA, FRM

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