Deutsche Bank has raised its price target on Bunzl (LSE:BNZL) to 2950p from an undisclosed prior level, reiterating a Buy rating on the multinational non-food consumables distributor, with the new target implying roughly 13% upside to the last close of 2602p.
Analyst David Brockton argues the first-half trading update points to genuine improvement rather than a purely inflation-driven bounce, with roughly two-thirds of the underlying revenue acceleration attributable to volume gains and showing little evidence of demand pull-forward.
Brockton notes that underlying first-half revenue growth of approximately 3% improved from 2% in the first quarter despite a tougher comparative period of roughly two percentage points in the second quarter, while the first-half operating margin is expected to come in moderately above the 7.0% reported in the equivalent period of 2025, supported by Nisbets synergy annualisation and the temporary inflation benefit.
The analyst flags North America operational progress and volume recovery as the key catalysts supporting the upgraded stance, with Bunzl's half-year results for the period ending 30 June set to be the next substantive proof point for the investment case.
