UBS cuts Ferrovial to 'neutral' on uncertainty over I-24 project

Ferrovial

26/08/2026 10:21

** UBS downgrades Spanish construction firm Ferrovial FERF.AS to "neutral" from "buy", saying its initial assessment points to "underwhelming" returns from the recently won I-24 contract in Tennessee
** The broker notes higher risks related to the project due to its large capex requirements, high fixed concession fee and big upfront debt
** "Increased competitiveness for ML (Managed Lane) tenders and a potential perceived lack of bid discipline in the industry leaves in our view an overhang on the stock," UBS adds
** It will therefore await more clarity on the I-24 project and the outcome of the company's I-285 tender
** Out of 23 analysts that cover Ferrovial, 13 rate the stock "strong buy" or "buy", ​eight "hold" and two​ "strong sell" or "sell" - LSEG data

(Reporting by Tiago Brandao)
((Tiago.Brandao@thomsonreuters.com;))