Faurecia: Deutsche Bank renews buy rating
(CercleFinance.com) - Deutsche Bank has upgraded its hold rating on the French automotive supplier Faurecia to buy.
The broker's target price for the share, although cut from 60 euros to 50 euros, still suggests upside potential of over 30%.
Over the past 12 months, the Faurecia share has lost half of its value, while among the European stocks covered by "Deutsche," the group is one of the few in its sector not to have made a profit warning. Better: management increased its forecasts in July, which it "confirmed last week," the broker says in a report.
Admittedly, 2019 promises to be a year of moderate growth, while the automotive market has become more difficult (especially in the first half), which suggests that Faurecia will outperform by less (estimated outperformance of 2% to 3%).
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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's target price for the share, although cut from 60 euros to 50 euros, still suggests upside potential of over 30%.
Over the past 12 months, the Faurecia share has lost half of its value, while among the European stocks covered by "Deutsche," the group is one of the few in its sector not to have made a profit warning. Better: management increased its forecasts in July, which it "confirmed last week," the broker says in a report.
Admittedly, 2019 promises to be a year of moderate growth, while the automotive market has become more difficult (especially in the first half), which suggests that Faurecia will outperform by less (estimated outperformance of 2% to 3%).
Copyright (c) 2019 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.