Deutsche Boerse: shares lower after Berenberg downgrade
(CercleFinance.com) - Shares of Deutsche Boerse are down almost 1% in morning trading on Friday after Berenberg downgraded the German stock exchange operator on valuation grounds.
The German broker downgraded the stock from "neutral" to "sell," while cutting its target price for the share from 115 euros to 109 euros.
"The stock's valuation is approaching two standard deviations above its long-term average, making it hard to justify raising our target valuation multiple," it said.
At the same time, Berenberg reduced its EPS forecasts to reflect declining volume trends.
"We think this is a good time to take profits," it added.
Shares of Deutsche Boerse are currently down 0.9% to 112.2 euros in mid-morning trading on the XETRA market on Friday.
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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 German broker downgraded the stock from "neutral" to "sell," while cutting its target price for the share from 115 euros to 109 euros.
"The stock's valuation is approaching two standard deviations above its long-term average, making it hard to justify raising our target valuation multiple," it said.
At the same time, Berenberg reduced its EPS forecasts to reflect declining volume trends.
"We think this is a good time to take profits," it added.
Shares of Deutsche Boerse are currently down 0.9% to 112.2 euros in mid-morning trading on the XETRA market on Friday.
Copyright (c) 2018 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.