Jefferies cuts KION to 'underperform' on recovery risks, vulnerable valuation

Kion AG

26/01/2026 07:34

** Jefferies downgrades German forklift maker Kion KGX.DE to "underperform" from "hold", citing risks that an anticipated market recovery could disappoint

** The brokerage says German stimulus is unlikely to solve structural issues like high energy costs and labour shortages that are hindering the manufacturing economy

** The broker sees margin progress stalling as tailwinds from the legacy backlog fade and an unfavourable sales mix towards cheaper models pressures profitability

** "We see risks the recovery & margin progress disappoints," Jefferies says, noting the stock's re-rating has left its valuation multiple vulnerable to a slowdown

** Consequently, the broker cuts its 2026-2027 adjusted EBIT estimates by 4-6%

** Shares in Kion are seen down 3.4% in early Frankfurt trading

 (Reporting by Maria Rugamer)

 ((Maria.Rugamer@thomsonreuters.com))