Deutsche Bank | A stable third quarter is expected, but HPA headwinds continue to weigh on results; target price: €14 against last close of €11.84, buy recommendation.
Acerinox is set to publish its third-quarter results, and we expect stable figures in line with forecasts. However, poor results in Europe, as well as uncertainties in VDM’s specialised business, will continue into the fourth quarter. Although prices in the US have risen significantly, the benefits of improved margins are likely to be offset by weaker seasonality before the full effect of prices is reflected in the first quarter. We have therefore cut our EBITDA figures for fiscal year 2025 by 9%, which puts us 9% below Wall Street’s forecasts for fiscal year 2025 (target price unchanged at €14).
