Berenberg Tweaks ISS Estimates After Upside Surprise in Margin Target; Buy Rating Kept

07:06 AM EDT, 09/16/2026 (MT Newswires) -- Berenberg revised its estimates for ISS (ISS.CO, ISS.VI) as analysts took note of the company's better-than-expected new margin target, unveiled at its capital markets day on Monday. "As we expected, the message was more evolutionary than revolutionary; however, the new margin target of 5.5-6.0% by 2028 surprised us on the upside. While there were no concrete targets for the Americas business, as we highlighted in our CMD preview we believe that momentum in the Americas is turning, and we maintain our above-consensus view for the region in 2027-28," the research firm said Wednesday. Berenberg also highlighted the Danish facility management company's new target of above 5% in average annual organic growth for 2026 to 2028, saying it believes that the company's ambition is "clearly greater than just a bit above 5%." Accordingly, Berenberg raised its EPS compound annual growth rate estimates for 2025 to 2029 to 20% from 17%, while also increasing its 2028 EBITA forecast by 6%. As such, the stock's price target was raised to 370 kroner from 350 kroner, with an unchanged buy rating.