Reckitt Benckiser Group plc stock (London Stock Exchange: RKT) heads into the Christmas break near multi-month highs, with investors juggling three big themes: fresh broker calls (including a new Santander “Outperform” initiation), an active share buyback and share-cancellation programme, and the approaching end‑December deadline for the Essential Home divestment that could unlock a major capital return. [1]
Because UK markets are closed on December 25, the latest meaningful “today” reference is the most recent trading session. Reckitt’s LSE listing showed a previous close of 5,978p on 24 December 2025—roughly £59.78—after the shares briefly touched 6,080p on 19 December. [2]
Below is a complete, up-to-date wrap of the key news, forecasts and analysis shaping Reckitt Benckiser stock as of 25.12.2025.
Reckitt share price snapshot: close to the highs, but not without pullbacks
Reckitt’s recent run has not been a straight line. On Monday, 22 December, the stock fell 1.18% to £60.08 in a weaker session for the FTSE 100 and traded on notably lighter volume than its recent average—classic “holiday market” conditions where moves can look bigger than the conviction behind them. [3]
A broader historical tape shows the stock peaked at 6,080p on 19 December, then eased back to 5,986p on 23 December and 5,978p on 24 December. [4]
For US-based investors following the ADR, Reckitt’s RBGLY ended around $16.18 on December 24 (delayed quote). [5]
The biggest “new” story: Santander initiates coverage with Outperform (7,030p target)
The most recent headline catalyst is straight from the broker desk.
On 24 December 2025, Alliance News reporting carried by the London Stock Exchange said Santander initiated coverage of Reckitt Benckiser with an “outperform” rating and a 7,030p price target. [6]
That target is meaningfully above the latest close:
- 7,030p vs. 5,978p implies about +17.6% upside from the 24 Dec close (before dividends and any corporate actions).
Why it matters: new coverage can act like fresh oxygen for a narrative—especially into year-end when portfolio managers are revisiting “what do we own, and why?”
Analyst outlook is mixed: upgrades and downgrades are clustering around the low-to-mid £60s
Santander isn’t the only voice. December has brought a stack of analyst notes that, taken together, paint a “good business, but valuation is doing some of the heavy lifting” picture.
Morningstar: downgrade to Hold, but keeps 65 target
MT Newswires reporting (via MarketScreener’s feed) said Morningstar downgraded Reckitt to Hold from Buy while maintaining a price target of 65 (i.e., ~6,500p). [7]
Morgan Stanley: downgrade to Equal-weight after outperformance
A Yahoo Finance report on UK staples noted Morgan Stanley moved Reckitt to Equal-weight from Overweight after “a year of significant outperformance.” [8]
A separate MT Newswires item stated a £61 target price in connection with that downgrade. [9]
Bernstein: reiterates Buy with 6,500p target
Bernstein analyst coverage in mid‑December maintained a Buy rating and kept a 6,500p target price. [10]
Consensus snapshot: “Moderate Buy,” but modest implied upside
MarketBeat’s broker aggregation (as of its 21 Dec update) described Reckitt as “Moderate Buy” with an average 12‑month target of 6,109.17p. [11]
Against the 24 Dec close (5,978p), that’s only about ~2% implied upside—suggesting the market is already pricing in a lot of good news.
Capital returns are front and center: buybacks continue and 30 million treasury shares were cancelled
If you’re looking for the “mechanical” support under the stock, Reckitt’s capital return programme is hard to ignore.
30 million shares cancelled (mid‑December)
Reckitt disclosed that on 15 December 2025 it cancelled 30,000,000 ordinary shares previously held in treasury. After the cancellation, it reported:
- 29,575,317 shares held in treasury
- 672,514,022 total voting rights in issue [12]
A cancellation reduces issued share capital (as opposed to simply holding shares in treasury), which can mechanically improve per‑share metrics over time, all else equal.
The day-to-day buyback drumbeat
Reckitt also continues to publish routine “Transaction in Own Shares” updates—typical for an active buyback programme—detailing the number of shares purchased and the price paid. [13]
The bigger structure: a £1 billion buyback programme, with tranches
Reckitt previously outlined a £1 billion share buyback programme to be executed over roughly 12 months. [14]
An Investegate announcement described the second tranche, intended to return up to £250 million, running from 22 October 2025 and expected to end on or before 30 January 2026, following completion of the first tranche. [15]
For shareholders, this matters because buybacks and cancellations can be a persistent demand source for the stock—especially in quieter markets.
The biggest corporate catalyst: Essential Home divestment deadline is days away
Reckitt’s portfolio reshaping is not abstract anymore—it has a calendar.
Company guidance: completion expected by 31 December 2025
In its July announcement, Reckitt said the Essential Home transaction (sale to Advent with Reckitt retaining a minority stake) was expected to complete by 31 December 2025, subject to regulatory approvals and separation steps. [16]
Why equity investors care: special dividend + share consolidation
Reckitt also flagged an anticipated ~US$2.2 billion special dividend following completion, paired with a share consolidation. [17]
A share consolidation is essentially an administrative offset: after paying a large special dividend (which would normally drop the share price by roughly the dividend amount), the company can reduce the number of shares so the per‑share price is adjusted. The goal is to keep the market price in a more “normal-looking” range while returning capital.
Deal context: valuation, structure, and costs
Reuters described the transaction as a deal valued at $4.8 billion (including debt), with Reckitt keeping a 30% stake and returning cash via the special dividend. [18]
The Wall Street Journal also noted separation-related costs expected to be around $800 million, mostly in 2026 (as reported in its deal coverage). [19]
Bottom line: with the year-end deadline imminent, any update on closing mechanics (or slippage) could move the stock quickly—especially given how tightly the shares are trading near highs.
Operational performance: Q3 results beat expectations and guidance stayed intact
The other leg of the story is that this isn’t only “financial engineering.” Recent trading has been solid.
Q3 2025 highlights: strong like-for-like growth
In its Q3 2025 trading update, Reckitt reported:
- Core Reckitt like‑for‑like net revenue growth of +6.7% in Q3
- Group like‑for‑like net revenue growth of +7.0% [20]
The company described the growth mix as improving, with sequential volume momentum and balanced price/mix contribution. [21]
FY 2025 outlook: maintained
Reckitt reaffirmed its full‑year positioning, maintaining expectations for like‑for‑like net revenue growth in the 3% to 4% range for the group, with a stronger expectation for the core portfolio. [22]
Emerging markets narrative: digital commerce and China execution are now core to the bull case
A major theme in late 2025 coverage is that Reckitt’s growth engine is increasingly emerging‑market led—and increasingly digital.
Reuters reported in early December that Reckitt’s use of influencers and AI-generated avatars in China has helped drive growth, with e-commerce accounting for about 80% of sales in China, up from around 30% pre‑pandemic, and 40 million new customers added in China during 2025. [23]
The same Reuters report said emerging markets (including China, India, and Brazil) now make up about 42% of core net revenues, and cited Barclays analysts projecting this could rise toward 50% by 2030. [24]
Reckitt also used its own investor communications to frame emerging markets as a deliberate growth pillar, describing an ambition for high single‑digit like‑for‑like revenue growth in emerging markets supporting medium-term core guidance. [25]
For the stock, this matters because:
- Emerging markets can offer faster category growth (with volatility),
- Digital execution can accelerate product launches and marketing feedback loops,
- But investor confidence hinges on whether growth remains profitable and durable.
The enduring overhang: Mead Johnson litigation risk remains a factor
No serious “Reckitt stock” piece is complete without mentioning the baby formula litigation backdrop tied to Mead Johnson.
Reckitt publicly addressed the issue in 2025 after a Missouri court decision allowed plaintiffs to seek a new trial in a case the company had previously won at trial, and Reckitt said it would appeal. [26]
Reuters has also reported on broader venue and case-management developments involving lawsuits against Abbott and Mead Johnson, underscoring that litigation remains an ongoing risk variable for investors. [27]
This doesn’t mean the stock can’t rise—markets price probabilities, not certainties—but it does help explain why some analysts sound constructive on operations while still warning about risk/reward balance.
What happens next: the near-term calendar for RKT stock
Here are the practical catalysts investors are likely to watch immediately after the holiday:
- Essential Home transaction closing (or any delay/conditions update) as the company approaches the 31 Dec 2025 completion expectation. [28]
- Special dividend + share consolidation details once the divestment completes (timing, record date, mechanics). [29]
- Buyback pace into January, with the second tranche expected to run to 30 Jan 2026. [30]
- FY 2025 results: Reckitt has scheduled its Full Year Results announcement for 5 March 2026. [31]
The takeaway for investors watching Reckitt Benckiser stock
As of 25 December 2025, Reckitt Benckiser stock is trading like a company in the middle of a deliberate “simplify and sharpen” strategy—supported by buybacks and approaching a major portfolio event.
- Bulls point to strong core execution, emerging-market momentum, and the potential clarity/value release from the Essential Home deal plus capital return. [32]
- More cautious views focus on valuation after a strong run and lingering legal uncertainty—reflected in mixed broker actions and targets that cluster not far above the current price (with Santander the notable outlier on the upside). [33]
For readers and searchers: if you’re tracking “Reckitt Benckiser stock forecast” or “RKT share price outlook”, the most actionable reality right now is that the next big move likely depends less on day-to-day trading and more on deal execution and the terms/timing of the special dividend and share consolidation—with FY results in March as the next major fundamental checkpoint. [34]
References
1. www.lse.co.uk, 2. www.londonstockexchange.com, 3. www.marketwatch.com, 4. www.investing.com, 5. www.marketwatch.com, 6. www.lse.co.uk, 7. www.marketscreener.com, 8. uk.finance.yahoo.com, 9. www.marketscreener.com, 10. www.marketscreener.com, 11. www.marketbeat.com, 12. www.investegate.co.uk, 13. www.investegate.co.uk, 14. www.reckitt.com, 15. www.investegate.co.uk, 16. www.reckitt.com, 17. www.reckitt.com, 18. www.reuters.com, 19. www.wsj.com, 20. www.reckitt.com, 21. www.reckitt.com, 22. www.reckitt.com, 23. www.reuters.com, 24. www.reuters.com, 25. www.reckitt.com, 26. www.reckitt.com, 27. www.reuters.com, 28. www.reckitt.com, 29. www.reckitt.com, 30. www.investegate.co.uk, 31. www.reckitt.com, 32. www.reckitt.com, 33. www.lse.co.uk, 34. www.reckitt.com
