09:26 AM EDT, 05/06/2026 (MT Newswires) -- Berenberg on Wednesday raised its price target on buy-rated ISS (ISS.CO) to 305 Danish kroner from 290 kroner following the company's first-quarter update, which highlighted better-than-expected organic growth.

In its "surprisingly strong"first-quarter update, the Danish facility management company reported an organic growth of 7.4%, ahead of the 5.4% consensus estimate and the research firm's forecast of 6.1%. As such, Berenberg increased its 2026 organic growth forecast for ISS to 6.4% and slightly lowered its foreign exchange headwind assumptions.

"Strength was pronounced in ISS's key European regions, while APAC delivered a solid quarter, and Americas was somewhat weaker than we and consensus had expected. Despite the strong start to 2026, the full-year guidance was reiterated across the board, but looks increasingly conservative to us. We continue to like the ISS investment case and, with the recent acquisition of the c40% minority stake in its Turkish business, we think that the one remaining obstacle for a clean equity case is the ongoing Deutsche Telekom arbitration, where we still see a small net positive outcome for ISS by H126 as being the most likely scenario,"according to a research note.

Berenberg also still expects the company to repurchase 3.1 billion-krone worth of shares, compared with the current 2.5 billion kroner amid its purchase of an additional stake in ISS Türkiye.