Piper Sandler Boosts Mondelez Price Target Amid Signs of Volume Recovery
Mondelez International (NASDAQ: MDLZ) received a vote of confidence from Piper Sandler, which raised its price target on the stock to $64 from $60 per share while maintaining an “Overweight” rating. The revision follows signs of improving volume trends as the global snacking giant enters the second half of the year.
In a note to clients, Piper Sandler analysts emphasized the potential for a recovery in organic volume following a challenging first quarter marked by weather disruptions in Argentina and weaker-than-expected performance in the U.S. biscuit category. Despite these setbacks, Mondelez delivered first-quarter earnings per share ahead of expectations, underlining its ability to manage through headwinds.
Looking ahead, the brokerage remains optimistic about Mondelez’s ability to accelerate underlying volume growth as macroeconomic noise fades and its core brands regain traction. Speculation around potential M&A activity also continues to build, with the firm suggesting Mondelez could tap into its balance sheet strength and recent divestiture of some gum assets to pursue accretive acquisitions.
The company has also begun implementing cash redeployment strategies, including more aggressive share repurchases. This financial flexibility, coupled with a growing premium snack portfolio and strong presence in key emerging markets, supports Piper Sandler’s thesis of strong remainder-year earnings delivery.
Mondelez has consistently leaned into its global biscuit, chocolate, and gum categories, supported by brands such as Oreo, Cadbury, and Toblerone. The firm notes ongoing pricing resilience and recovering volumes as encouraging signs for FMCG stakeholders watching consumer spending trends across geographies and channels.
Shares of Mondelez currently trade around $67, roughly 3.5% above the revised target. However, Piper Sandler views this as justified given potential upside from strong execution, favorable input cost trends, and strategic growth levers. For FMCG investors and executives, the update highlights continuing investor optimism in large-cap food players with robust international portfolios and disciplined capital management.