Daimler: penalised by a broker downgrade

(CercleFinance.com) - The Daimler stock is down 1.
5% in Frankfurt today after Barclays Capital (BarCap) downgraded the stock from "weight in line" to "underweight," cutting its target price for the share from 82 euros to 73 euros, as a result of applying a 15% discount on historical multiples.

The broker highlights a relatively late commitment and, consequently, more expensive in the electrification of cars, at a time of a weakening in earnings momentum and mix at Mercedes.

In comparison, BarCap reiterates its "overweight" stance on BMW (inching up its target price for the share from 114 euros to 115 euros) and Volkswagen (with a target of 212 euros), with BMW replacing Volkswagen its top pick in the sector of European car manufacturers.



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