Kepler Cheuvreux downgraded Barry Callebaut to a 'hold' rating from 'buy', citing the Swiss chocolate maker's stock surge and restructuring uncertainty. Shares have nearly doubled since April, which the brokerage says now reflects positive news on easing cocoa prices and reduced fears of a capital raise.

The broker raised its target price to CHF 1,300 from CHF 1,175, implying 10.6% upside from the current CHF 1,288. However, Kepler Cheuvreux believes the valuation no longer supports a 'buy' rating. The move coincides with Barry Callebaut's leadership transition to new CEO Hein Schumacher.

Barry Callebaut is executing its largest-ever restructuring plan, targeting CHF 250 million in savings. The company reported weak volume trends, with group volumes down 10%. Kepler Cheuvreux sees limited visibility on a return to 2% volume growth, given broader structural pressures in the food sector and volatile cocoa prices.