Diageo PLC (LSE:DGE)’s first-half results were below consensus and Deutsche Bank says the debate now is whether the latest cuts to forecasts will be the last negative revision.
In its view, the answer is no, with US challenges increasingly looking more structural than cyclical.
"We strongly suspect there will be more disappointment to come,” the bank said.
Deutsche Bank was a seller of the Johnnie Walker and Guinness group even before the 10 November profit warning sparked a share price collapse.
'Sell' remains its view with the share price target trimmed again to 2,400p.