Continental: Bernstein maintains 'market perform' rating

(CercleFinance.com) - Sanford C.
Bernstein maintains its "market perform" rating on Continental with a target price of 260 euros, saying that there were no great surprises in the group's results.

The broker said that fourth-quarter results confirmed its view on Conti as a business that is "in good shape," although laments the fact that the firm did not give any update on its break-up.

"Conti created a lot of excitement at the beginning of the year when it confirmed it was studying a change in corporate structure that could result in some form of break-up," the broker wrote in a report.

"We will need to wait to the second quarter to learn more," it added.

On a brighter note, Bernstein thinks that orders are solid, with Conti's new technologies set to win business in electrification and autonomous driving.

"Interestingly the stock has pulled back a lot since January," the broker concludes.

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