Haleon Shares Slide as Barclays Cuts Rating

Haleon (LON:HLN) shares fell more than 4% on Wednesday, extending Tuesday’s 1.3% decline, after Barclays downgraded the consumer health group to Equal Weight from Overweight.

The bank cut its price target on the Sensodyne and Panadol maker to 380 pence from 430 pence, citing weakness in the United States, which accounts for more than a third of Haleon’s sales. Barclays said the company faces slower category growth and destocking in the U.S. and noted its overweight exposure to declining U.S. drug stores.

The downgrade follows a reduction in Haleon’s 2025 outlook and reflects ongoing short-term risks. Barclays said it would remain on the sidelines until more detail emerges from the company’s newly appointed U.S. head on how it plans to address the challenges in the market.

The bearish stance contrasts with a recent call from Goldman Sachs, when analyst Olivier Nicolai upgraded the stock to Buy from Neutral, with a 440 pence price target.

Goldman argued Haleon’s fundamentals should improve in 2026, supported by stronger volumes, a U.S. recovery and high-single-digit growth in Oral Health. It said organic sales growth is positioned to accelerate and that the current valuation offered an attractive entry point.