Bank of America downgraded Nestlé S.A. from Buy to Neutral on Monday.
The bank also reduced its price target for the company's shares.
This move follows disappointing half-year 2026 results released on July 23.
The report triggered a decline in the company's stock price.
Investors expressed concern over a recent drop in sales.
Nestlé simultaneously announced a significant joint venture for its water business.
Analysts cited challenging market conditions as a primary concern.