thyssenkrupp: shares rise after Deutsche Bank upgrade
(CercleFinance.com) - Shares of the troubled German metal giant thyssenkrupp rose on Wednesday after Deutsche Bank analysts upgraded their rating on the stock to "buy" from "hold".
The Deutsche Bank team said the upgrade partly reflected a "compelling high-risk, high-reward profile."
The investment bank said it has identified three independent drivers to generate value for investors (portfolio changes and cost-cutting, crystalizing value from electrolyzer unit and finding a strategic solution for the steel business), with each of them providing more than 50% upside potential from current share price levels
Decisive restructuring is needed, but "stock could still be a triple from here," wrote Deutsche Bank, which has raised its target price from 6 euros to 8 euros.
The thyssenkrupp shares were up 1.6% in early afternoon trading on Wednesday.
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