Citi upgrades Kone to 'buy' on appealing elevator deal synergies

KONE Oyj

07/10/2026 11:08

** Citi upgrades Finnish elevator maker Kone KNEBV.HE to "buy" from "neutral" as the proposed acquisition of Thyssenkrupp Elevator offers credible synergy opportunities
** The broker sets a PT of EUR 63 and notes that management estimates of achieving EUR 700 million in savings over three years are credible
** It sees significant scope for service synergies by increasing service density and adds that a resolution to EU antitrust concerns should be achievable
** Kone's standalone valuation is seen as undemanding at roughly 15.5 times 2027 enterprise value to earnings before interest, taxes and amortization ratio, brokerage says
** This low bar for the likelihood of the deal means the stock offers a "positive risk/reward" that sits slightly below the brokerage's no-deal scenario, Citi adds
** Out of 22 analysts that cover the stock, 13 rate it "strong buy" or "buy", eight rate it "hold", and one rates it "sell", according to LSEG data

 (Reporting by Marta Frackowiak)
 ((marta.frackowiak@thomsonreuters.com))