Mondelez (MDLZ) Stock Forecast & Price Target

Mondelez International has demonstrated a solid performance with organic sales increasing by 3.4%, supported by an 8% rise in overall pricing amid favorable cocoa pricing conditions. The company commands a strong position in its categories, consistently growing faster than competitors and gaining or maintaining market share in 70% of its segments, particularly with effective strategies in developed markets where organic sales rose by 1.2%. With expectations for high single-digit EPS growth in 2026 and approximately 40% of sales attributed to emerging markets, Mondelez is well-positioned for sustained revenue growth and improved volume/mix performance moving forward.

Mondelez International has revised its 2025 guidance, lowering its organic sales growth forecast from approximately 5% to over 4% and adjusting its expected EPS decline from 10% to nearly 15%, indicating weakening performance expectations. The company reported significant declines in gross profit and operating profit of 20.5% and 32.6% respectively, with margins contracting by over 1,000 basis points, primarily due to escalating cocoa costs. Additionally, the erosion of consumer confidence in North America and increased price sensitivities in Europe are contributing to a negative outlook for the company's overall profitability and revenue growth.