Beiersdorf stock plummets
Amid bleak updates from the Nivea manufacturer
Shares of German consumer goods giant Beiersdorf, known for its Nivea skincare and Tesa adhesive tape brands, nosedived on Wednesday after the company reported disappointing financial results.
The stock plunged by over 12% in early trading, hitting its lowest level in months. The decline was triggered by Beiersdorf's announcement that its operating profit fell short of analyst expectations in the first quarter of 2023.
"The decline in Beiersdorf's stock is a reflection of the company's struggles to navigate the current challenging economic environment," said analyst Mark Matthews of Bernstein Research. "Rising raw material costs and inflationary pressures are putting a squeeze on the company's margins."
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