Exane starts Bekaert with 'neutral' on 'underwhelming' outlook

NV Bekaert SA

17/01/2025 09:55

** Exane BNP Paribas initiates coverage of steel wire maker
Bekaert  BEKB.BR  with "neutral", seeing modest 2025 outlook
growth with limited visibility and potential risks
    ** It points to the company's "underwhelming" growth outlook
in 2025 due to weak demand in construction and from tire makers
    ** "Bekaert's exposure to Europe/China (about 60% of sales)
should be a headwind, and we see higher trade tariffs as a risk"
says the broker in a note
    ** The brokerage flags reorganisation issues which have been
a drag of growth, and with group's strategy moving towards
premium/innovative products, it sees Bekaert's mid-term growth
target (about 5% LFL) as ambitious
    ** Out of 6 analysts, two rate Bekaert "strong buy"/"buy"
and ​four "hold" 
    
  

 (Reporting by Clement Martinot)
 ((Clement.Martinot@thomsonreuters.com;))