Lufthansa: Commerzbank raises target price.
(CercleFinance.com) - Commerzbank has reiterated its "buy" recommendation on Lufthansa and has raised its target price from 21 euros to 32 euros, saying that "Market fundamentals are changing quickly in Lufthansa's favour".
The broker points out that apart from a solid yield over the summer; consolidation is accelerating in Europe, which it deems is lifting the structural weight on the group's profitability.
The broker adds that Air Berlin's assets will reinforce Lufthansa's dominance of its domestic market, which has raised its 2018 adjusted operating profit estimate by 19%, 10% above the 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 broker points out that apart from a solid yield over the summer; consolidation is accelerating in Europe, which it deems is lifting the structural weight on the group's profitability.
The broker adds that Air Berlin's assets will reinforce Lufthansa's dominance of its domestic market, which has raised its 2018 adjusted operating profit estimate by 19%, 10% above the consensus.
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.