Why you should buy Brenntag shares

Brenntag, the German chemical and ingredients distributor, presents a compelling investment opportunity with significant upside potential. As the market leader in a highly fragmented industry, Brenntag connects major chemical manufacturers with small and medium enterprises through its global network of 600 locations across 72 countries.

Our analysis points to a fair value of around 95 euros per share by 2027, including dividends – a substantial increase from the current price of 65 euros. This projection is based on conservative estimates of continued gross profit expansion, stable contribution margins, and the company’s consistent dividend policy. Brenntag’s capital-light business model, high cash conversion rate, and strong potential for accretive M&A make it an attractive prospect in the chemical distribution sector.