Industrie De Nora at all-time lows after broker downgrade

Industrie De Nora

08/08/2024 08:39

** Shares in Industrie De Nora  DNR.MI  drop as much as
10.8% to all-time low after Jefferies cut its rating on the
Italian electrode maker to "hold" from "buy" due to lower growth
expectations
    ** "De Nora's most recent announcement of a downward
revision to its growth estimates comes only 4 months after the
last cut," Jefferies says in a note
    ** It adds that since listing, revenue targets have been cut
by over 40%
    ** Broker notes that the company's growth expectations have
been mostly driven by the Energy Transition segment, highly
dependent on the adoption of green hydrogen 
        ** But, it points out, that most recent downgrade
clearly indicates that a wide adoption of green hydrogen remains
uncertain
  
    ** It also says that earnings growth is relatively limited
to mid-/high single digits in electrodes and water technologies
segments, accounting for around 90% of the business 
    ** The stock, which is down 10.5% by 0736 GMT, hit intraday
low of 9.17 euros
    
  

 (Reporting by Romolo Tosiani)
 ((Romolo.Tosiani@tr.com))