BofA Says US Market Concerns for Ahold Delhaize 'Overdone'; Buy Retained

08:40 AM EDT, 09/09/2026 (MT Newswires) -- BofA Global Research retained its buy rating on Koninklijke Ahold Delhaize (AD.AS), with a price objective of 44 euros, saying investor concerns around the company's US business are "overdone" and that the core elements of its investment case remain intact. "Since the mid-March peak and following the announcement of Frans Muller's retirement and the appointment of Thierry Garnier as proposed CEO from April 2027, Ahold Delhaize shares have materially underperformed. We think Investor concerns have centred on the management transition and fears that the US food retail market is becoming more competitive and less rational," analysts said in a Tuesday note. "The key debate is whether recent US margin pressure reflects structural deterioration. We disagree. Q2 mainly reflected planned pricing investment to support volumes and market share. Walmart and Costco are executing existing strategies, while Kroger's repositioning remains early. We expect US profit to stabilize in H2, with Europe, still around 40% of group operating profit, continuing to improve." The research firm still expects the Netherlands-based food retail group to outperform the broader US supermarket market, citing recent Nielsen data, with Ahold continuing to gain market share amid rational competitive conditions. Analysts also noted that the company's new leadership team is a catalyst rather than a risk, viewing the appointed individuals as well placed to address any upcoming structural challenges in the food retail sector due to the complementary nature of the team being assembled.