Lufthansa: Stifel downgrades stock
(CercleFinance.com) - In a report on European airlines and airport operators, Stifel has downgraded its rating on Lufthansa shares from "buy" to "hold", having reduced its corresponding target price from 8.
5 euros to 6 euros.
Stifel warns about sector conditions in 2023, with the "upcoming downturn into 2023 might be harsher than expected by most... we expect demand weakness and cost inflation (fuel/labour) at the same time".
While it is downgrading its rating on Lufthansa shares due to these sector concerns, Stifel says "while balance sheet strength (as pension deficit unwinds) and FCF transformation provide some downside protection" for the German airline's stock.
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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.
5 euros to 6 euros.
Stifel warns about sector conditions in 2023, with the "upcoming downturn into 2023 might be harsher than expected by most... we expect demand weakness and cost inflation (fuel/labour) at the same time".
While it is downgrading its rating on Lufthansa shares due to these sector concerns, Stifel says "while balance sheet strength (as pension deficit unwinds) and FCF transformation provide some downside protection" for the German airline's stock.
Copyright (c) 2022 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.