Barclays ups Kion on order growth prospects, market share gains

Kion AG

17/03/2025 14:33

** Barclays upgrades Germany's Kion KGX.DE to "overweight" from "equal-weight", saying its Industrial Trucks & Services business is "well positioned to enjoy any order rebound from a macro recovery"

** The segment appears to be winning market share in the muted macroeconomic environment, the broker says

** While its too early to say how Germany's infrastructure funding plan will affect warehouse automation players, any macro improvement could help boost demand in the longer term, it adds

** "KION has a quite diversified end market exposure in terms of truck shipment units by industry (based on German customers, the largest one being logistics at c.20%)" - Barclays

** However, the group's high leverage levels could negatively impact its valuation, it says

** Out of 21 analysts that cover Kion, 17 rate the stock "strong buy" or "buy" and four rate the stock "hold"

 (Reporting by Simon Ferdinand Eibach)

 ((Simonferdinand.eibach@thomsonreuters.com))