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Porsche: Oddo BHF lowers TP

(CercleFinance.com) - Oddo BHF maintains its 'outperform' rating on Porsche shares, with a target price trimmed from E92 to E90.


The analyst reports that Porsche published lower-than-expected quarterly results on Friday, with EBIT 5% below consensus and 11% below Oddo BHF forecasts.

The group reports a contraction in sales (E9.1bn, -6% y-o-y) as well as a sharp erosion in EBIT margin (10.7%, -630 bp y-o-y) and FCF (E118m), impacted by model launches (911 & eMacan, volume and cost impact) and continued weakness in China.

Q3 was weak, but this was expected, and does not fundamentally change the annual vision, which continues to be based on a recovery in Q4, the broker says.

Following this publication, the manufacturer confirmed its new 2024 guidance, which had been revised downwards on 22/07, and forecasts sales of between E39bn and E40bn (css E39bn), with an EBIT margin of between 14% and 15% (css 14.4%) and Auto FCF/Sales of 7-8.5% (css 7.1%).


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