Geberit: Stifel downgrades stock
(CercleFinance.com) - Stifel has downgraded its rating on Geberit shares from "buy" to "hold", reducing its target price for them from 545 Swiss francs to 530 Swiss francs, following a slight adjustment to its 2023-25 forecast for the Swiss sanitary equipment supplier.
Pointing to the stock's solid 18% YTD performance, which has outperformed the Swiss market, the broker believes that there is currently no longer sufficient upside potential and sees a major risk/challenge to volumes in the near term.
"This is also linked to a weaker main market in Germany," Stifel says, although adds that "as Germany is a huge headwind in the short term for Geberit, we explain why it could become a major bull case argument again in the mid- to long term".
Copyright (c) 2023 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.