Stellantis: Deutsche Bank no longer a buyer
(CercleFinance.com) - Deutsche Bank announced on Monday that it has downgraded its recommendation on Stellantis shares to 'hold' (from 'buy'), with a target price reduced from E35 to E23.
In a research note, the analyst says that he previously appreciated the automotive group's ability to outperform the economic climate by generating higher profit margins and FCF than its competitors.
While he points out that last Thursday's publication of a 10% recurring operating margin for H1 may seem to validate such an observation, the broker points out that, with certain adjustments, the margin would be closer to 7.8%, a level below that of Renault and identical to that of the Volkswagen group.
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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.
The information and analyses published by Cercle Finance are intended solely as a decision-making aid for investors. Cercle Finance cannot be held responsible, directly or indirectly, for the use of information and analyses by readers. Uninformed investors are advised to consult a professional advisor before investing. This information does not constitute an invitation to sell or a solicitation to buy.
In a research note, the analyst says that he previously appreciated the automotive group's ability to outperform the economic climate by generating higher profit margins and FCF than its competitors.
While he points out that last Thursday's publication of a 10% recurring operating margin for H1 may seem to validate such an observation, the broker points out that, with certain adjustments, the margin would be closer to 7.8%, a level below that of Renault and identical to that of the Volkswagen group.
Copyright (c) 2024 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.
The information and analyses published by Cercle Finance are intended solely as a decision-making aid for investors. Cercle Finance cannot be held responsible, directly or indirectly, for the use of information and analyses by readers. Uninformed investors are advised to consult a professional advisor before investing. This information does not constitute an invitation to sell or a solicitation to buy.