Salzgitter: RBC downgrades to 'sector perform' on valuation.
(CercleFinance.com) - RBC Capital Markets cut its rating on German steelmaker Salzgitter to "sector perform" from "outperform," while raising its target price on the shares to 39 euros from 38 euros.
The brokerage firm -- which maintains a bullish view on the sector -- said the downgrade follows the stock re-rating versus its European peers.
"The stock is now trading broadly in line with the sector, while its free-cash flow outlook in coming years looks uninspiring," RBC explained.
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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 brokerage firm -- which maintains a bullish view on the sector -- said the downgrade follows the stock re-rating versus its European peers.
"The stock is now trading broadly in line with the sector, while its free-cash flow outlook in coming years looks uninspiring," RBC explained.
Copyright (c) 2017 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.