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Highlights

  • Jefferies analyst Simon Lechipre issued a ‘Buy’ rating on Compass Group PLC.

  • The analyst set a price target of GBP 3,000.00, reflecting a 14.9% potential upside from current levels.

  • The rating was most recently reviewed on 11 September 2025.

Compass Group PLC (LSE:CPG), the multinational food services company, has received a ‘Buy’ rating from Jefferies analyst Simon Lechipre. The rating, initially issued on 8 October 2023, was most recently reviewed on 11 September 2025.

Lechipre has set a target price of GBP 3,000.00 for Compass Group shares. With the company’s current price trading below this level, the target suggests a 14.9% potential upside.

Q3 2025 Performance

For the quarter ended 30 June 2025, Compass Group reported organic revenue growth of 8.6%, bringing year-to-date growth to 8.5%. North America delivered growth of 9.6% in the quarter and 9.0% year-to-date, while International operations grew by 6.6% in Q3 and 7.6% year-to-date.

The company maintained net new business growth within its 4–5% target range and achieved a client retention rate above 96%. Volume growth remained positive across both North America and International markets, with North America benefiting from large-scale hospitality events.

Acquisitions and Expansion

Compass Group has remained active in mergers and acquisitions, with net expenditure on M&A totalling USD 1.1 billion year-to-date. Integration of recent acquisitions is progressing ahead of expectations.

Additionally, the company announced an agreement to acquire Vermaat Groep B.V., a European premium food services business, for an enterprise value of approximately EUR 1.5 billion. The transaction remains subject to regulatory approval and consultation with Vermaat’s Works Council.

Upgraded Guidance

Compass Group has upgraded its 2025 guidance and the company now expects constant currency underlying operating profit growth towards 11%, supported by organic revenue growth above 8% and continued margin progression.

Management noted that acquisitions are performing ahead of expectations.