Berenberg Revises Delivery Hero Price Target, Earnings Estimates Amid Higher Spending Commitment

06:17 AM EST, 12/10/2025 (MT Newswires) -- Berenberg adjusted its price target and earnings forecast for Delivery Hero (DHER.F) after the German online food delivery company committed to increasing its spending to protect its share in key markets. The research firm on Tuesday lowered its full-year 2026 and 2027 earnings projections, including sales and adjusted EBITDA, on expectations of an additional expense of 150 million euros and new product category migration in 2026. As such, the buy-rated stock's price target was reduced to 31 euros from 35 euros. "Recent management statements indicate that Delivery Hero is willing to sacrifice a lower triple-EURm amount (we estimate EUR100m-200m) in 2026 to maintain its market leadership in both South Korea and [Middle East and North Africa]. In our view, these statements are aimed at two audiences: 1) investors, who should be prepared for only moderate earnings growth in 2026; and 2) competitors, who, at the same time, and perhaps more importantly, should be discouraged from attempting to 'buy market share' through aggressive pricing policies. With first indications of a positive turnaround in Delivery Hero's most important market of South Korea already demonstrated in Q3, and MENA holding up well despite competitor Keeta having entered further regional markets, we consider the provision of an additional budget to address future growth potential to be the right decision," the note said. Analysts added that Delivery Hero's long-term drivers, including end-customer growth, remain "fully intact." They also expect the existing overhang related to investor Prosus (PRX.AS, PRX.JO) to be resolved in the coming quarters, as regulators required the Dutch technology investor to reduce its interest in Delivery Hero by August 2026.