Stellantis: HSBC cuts target price
(CercleFinance.com) - HSBC announced on Monday that it had lowered its target price for Stellantis from E18 to E15, while renewing its 'hold' recommendation on the stock.
In comments about US automakers, the broker cites "resilient" demand, but also contrasting sales dynamics between the "Big Three".
While Ford and GM posted sales that rose 6% and 2% respectively over the summer period (July-August), those of Stellantis fell by 19%, the broker points out.
In the near term, efforts undertaken by Stellantis to reduce the volume of its inventories are likely to result in pressure on prices, it warns, leading him to lower his forecasts for the group.
Judging that the consensus is still too ambitious concerning Stellantis, HSBC currently prefers GM shares, which it recommends buying, while reiterating its 'hold' recommendation on Ford shares.
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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 comments about US automakers, the broker cites "resilient" demand, but also contrasting sales dynamics between the "Big Three".
While Ford and GM posted sales that rose 6% and 2% respectively over the summer period (July-August), those of Stellantis fell by 19%, the broker points out.
In the near term, efforts undertaken by Stellantis to reduce the volume of its inventories are likely to result in pressure on prices, it warns, leading him to lower his forecasts for the group.
Judging that the consensus is still too ambitious concerning Stellantis, HSBC currently prefers GM shares, which it recommends buying, while reiterating its 'hold' recommendation on Ford shares.
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.