Proactive Investors - Britvic PLC (LON:BVIC), the soft drinks company, is likely to announce a new buyback on Wednesday when it reports its interims, analysts reckon.
Citibank analysts believe that following a positive set of first-quarter results, which highlighted robust volumes, the group is likely to post a profit beat for the half year.
Experts also believe revenue growth in the second quarter will help drive growth, with Citi analysts predicting underlying earnings to be 4% ahead of consensus.
Looking forward, the US bank believes Britvic could be positioned to outperform in the full year, should the impressive start be coupled with further momentum from good weather and the Olympics/Euros.
“Moreover, having completed a £75m buyback in Dec 2023, we think Britvic will announce a new 12-month buyback with its May 15th H1 results,” analysts explained.
Britvic shares have steadily climbed 8% higher in the last month, but Citibank is confident the company’s earnings momentum, attractive core narrative and support from new buybacks will push it further forward.