04:19 PM EDT, 10/28/2024 (MT Newswires) -- Mondelez International ( MDLZ ) will likely post mixed Q3 results as consumer confidence continues to be weak in developed markets, RBC Capital Markets said in a note Monday.

With a neutral risk-to-reward ratio, Mondelez's ( MDLZ ) long-term growth potential is high, but some near-term consumer pressure is expected in developed countries due to high cocoa prices, RBC said.

Q3 scanner data showed slight sales growth in the US due to modest volume improvements, although challenges from consumer inflation and promotional pricing pressures persist, according to the note.

Mondelez's ( MDLZ ) growth potential as a leading consumer staples company, driven by portfolio expansion, acquisitions, and distribution growth, make its long-term targets of 3% to 5% revenue growth and high single-digit EPS growth attainable, RBC noted.

RBC had an outperform rating for Mondelez ( MDLZ ) with an $80 price target.

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