Kion offers attractive entry point - MS ups to 'overweight'

Kion AG

07/07/2026 08:10

** Morgan Stanley upgrades German heavy machinery company Kion KGX.DE to "overweight" from "equal-weight", citing reduced cyclical risks and an early-mover advantage in physical AI
** "Kion is one of the leaders in the warehouse automation space, and concerns around EU IP momentum, cost inflation, and ultimately earnings risk, have created an attractive entry point," MS says
** The broker raises its PT by about 29% to €62
** MS says Kion appears priced for a more negative earnings outlook than it expects to see materialise
** The broker sees only modest downside risk to 2026-27 consensus, with Q2 forklift order levels looking more normalised and European cyclical indicators likely past the worst
** The brokerage says it is too early to see any revenue or margin uplift from physical AI partnerships, but views it as "free optionality"
     
     
     
($1 = 0.8750 euros)

(Reporting by Basile Day)
((Basile.Day@thomsonreuters.com))