Treasury Wine Estates Ltd (TWE.AU) saw its shares plummet by 5.04% during intraday trading on Wednesday, as the Australian winemaker faced a significant downgrade from Citi analysts. The stock hit its lowest level in over four years, continuing a streak of losses that has plagued the company in recent sessions.
The sharp decline came after Citi downgraded Treasury Wine Estates from "buy" to "neutral," citing growing concerns about the company's prospects in the Americas market and long-term structural challenges facing the broader alcohol industry. This downgrade has heightened investor worries, contributing to the stock's substantial drop.
The winemaker's shares have been on a downward trajectory, marking their fourth consecutive day of losses. This latest plunge has exacerbated Treasury Wine Estates' already disappointing performance in 2025, with the stock now down 17.5% year-to-date. Despite the recent setback, 13 out of 15 analysts still maintain a "buy" or higher rating on the stock, with a median price target of A$13.85, according to LSEG data. However, today's sharp decline suggests that market sentiment may be shifting as investors reassess the company's growth prospects in light of the challenges highlighted by Citi.
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