Lonza Group Ltd

LONN: XSWX (CHE)

Morningstar Rating for Stocks	Fair Value	Economic Moat	Capital Allocation
	CHF 775.00	Lcdyn	Nkvylrm

Lonza: Investors Spooked as CEO Steps Down; Shares Undervalued for Long-Term Investors

Rachel Elfman

Sep 18, 2023

Lonza has announced that its CEO, Pierre-Alain Ruffieux, will leave the company at the end of September by mutual agreement. Chairman Albert Baehny will take over as CEO on an interim basis until a permanent successor is appointed. Baehny has served as the Chairman of Lonza since 2018. Investors were spooked by this news and sent the stock down nearly 15%. The stock is currently trading at a 32% discount to our fair value estimate of CHF 620 per share, representing an attractive entry point for long-term investors with a high degree of risk tolerance.

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