Exane BNP Paribas sees headwinds to reverse for ingredients cos
** In a note on ingredients companies, Exane BNP Paribas shares an upbeat view on the sector, saying that while 2022-23 have been "years to forget," factors likedestocking, inflation and rising rates areset to reverse
** The brokeragesays that although Food and HPC (home and personal care) inventory levels remain elevated compared to historical levels, it is now being reflected in consensus estimates
** The broker views the sector set to deliver solid top- and bottom-line growth in FY24
** Its preferred stocks are Symrise SY1G.DE, Kerry KYGa.I and IFF IFF.N
** Exanestill likes DSM-Firmenich DSFIR.AS, but cuts it to "neutral" from "outperform", with 2024 likely being another year of restructuring and integration for the company
** Its bottom picks areAAK AAK.ST, with recommendation downgraded to "underperform" from "neutral,"and Novozymes NZYMb.CO/Chr Hansen CHRH.CO ("underperform")
Reporting by Elviira Luoma
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