Top of the Street: German chemicals, ABN Amro Bank, Barratt Developments
09/02/2023 12:12
A round-up of notable broker activity this morning from Europe's
top-ranked* analysts:
** Baader Helvea cuts German chemicals company BASF
BASFn.DE to "reduce" from "hold", fearing its near-term cash
conversion could worsen while the chance for a re-rating from
the Wintershall Dea IPO could be delayed into 2024/2025
** The broker also cuts BASF's peer Covestro 1COV.DE to
"reduce" from "buy", flagging its "not rosy" 2023 outlook and
fearing its earnings recovery could be less, and come later than
the market expects
** Fuchs Petrolub's FPEn.DE shares have had a strong rally
over past months while its valuation already partly reflects the
potential upward consensus revision for 2023, Baader Helvea
says, as it cuts the German maker of industrial lubricants to
"add" from "buy"
** J.P. Morgan raises Dutch bank ABN Amro Bank ABNd.AS to
"neutral" from "underweight", seeing a short-term boost for its
shares from improving earnings, low valuation and buybacks
** Peel Hunt cuts Barratt Developments BDEV.L to "add"
from "buy", citing the British homebuilder's guidance cut for
2023 volumes
(*Analyst rankings from Thomson Reuters StarMine. The scale is
from 1-star to 5-star with 5 being the best. Analysts are ranked
on earnings accuracy as well as relative performance of
recommendations over trailing 12-month & 24-month periods.)
(Reporting by Olivier Sorgho and Tristan Chabba)
((Olivier.sorgho@thomsonreuters.com))