Overview
DA Davidson has maintained a Neutral rating on Mondelez International (NASDAQ:MDLZ) and held its price target at $62.00 as investors await the snack maker’s fourth-quarter 2026 results and initial fiscal year 2026 guidance. The research house noted the earnings update is due in five days, with an expected release on February 3.
Analyst rationale
DA Davidson framed its call around what it described as a balanced view of the company’s risk-reward profile. The firm flagged persistent pressure on consumption trends, attributing the weakness to pricing challenges and broader macroeconomic conditions. It also listed additional possible contributors to soft demand, naming GLP-1 medications, SNAP benefits, and MAHA as factors under consideration in the current consumption environment.
At the same time, DA Davidson pointed to favorable input-cost dynamics. The firm highlighted cocoa deflation and tariff relief as positive developments for Mondelez’s cost base. However, the research house said it expects the company to reinvest those savings back into the business rather than allowing them to immediately boost reported profits, which tempers near-term upside for margins.
Estimates and valuation
DA Davidson suggested that consensus estimates may need to move "modestly lower," with the most notable downside risk concentrated in top-line assumptions for the snack maker. The firm also noted that Mondelez’s relative valuation has reverted to its historical average, a change that makes the current entry point appear less attractive compared with earlier opportunities.
Where other analysts stand
Mondelez has been the subject of several other recent analyst updates. Bernstein reiterated an Outperform rating and kept a $84.00 price target, emphasizing Mondelez’s lower cocoa exposure relative to some peers. Specifically, Bernstein highlighted that Mondelez’s cocoa exposure is roughly half that of Hershey and estimated cocoa costs at about 8% of Mondelez’s cost of goods sold in 2023.
JPMorgan trimmed its price target to $69.00 from $71.00 while retaining an Overweight rating, citing concerns tied to cocoa costs. That move precedes Mondelez’s fiscal fourth-quarter 2025 earnings report, which is also scheduled for release in February 2026.
Jefferies offered a more constructive medium-term take, observing that 2025 was a challenging year for the food sector but that conditions could improve in the back half of 2026. Jefferies identified large-cap food names, including Mondelez, as preferred plays for potential margin recovery and growth opportunities.
Market context
Data referenced by DA Davidson align with broader analyst activity: InvestingPro data cited in the context of the call indicate seven analysts have recently lowered earnings estimates for the upcoming period. Collectively, the divergent analyst opinions underscore differing views on near-term consumption, cocoa cost trajectories, and the pace at which any cost relief will translate to shareholder returns.
Bottom line
DA Davidson’s Neutral rating and $62.00 target reflect a cautious stance ahead of an imminent earnings update. The firm weighs persistent demand headwinds against easing input costs, but expects those savings to be redeployed rather than immediately accretive to margins, and sees some risk of modest downward revisions to consensus estimates.