Mercedes-Benz: Oddo BHF cuts TP
(CercleFinance.com) - Oddo BHF reiterates its 'underperform' rating on Mercedes-Benz Group, with a target price lowered from E47 to E45, following Friday's publication of lower-than-expected quarterly results, testifying to a sharp erosion of margins.
The collapse in automotive margins reflects the rapid and highly impactful deterioration in the price/mix following the exceptional post-Covid years, explains the analyst, who sees a continuation, if not intensification, of the pressure in 2025.
The broker has therefore (once again) lowered its 2024 EBIT by 2%, to stand 5% below consensus, and, pointing to the CFO's rather cautious messages on the environment, reduced its 2025 EBIT by 5%, to stand 12% below consensus.
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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.
The collapse in automotive margins reflects the rapid and highly impactful deterioration in the price/mix following the exceptional post-Covid years, explains the analyst, who sees a continuation, if not intensification, of the pressure in 2025.
The broker has therefore (once again) lowered its 2024 EBIT by 2%, to stand 5% below consensus, and, pointing to the CFO's rather cautious messages on the environment, reduced its 2025 EBIT by 5%, to stand 12% below consensus.
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.