Salzgitter rises in early Frankfurt trade as MS upgrades stock to 'overweight'

Salzgitter AG

02/06/2026 07:43

** Shares in Salzgitter SZGG.DE are up around 3% in early Frankfurt trade after Morgan Stanley raised its rating to "overweight" from "equal-weight"
** The broker says the German steel producer's setup has improved as earnings momentum builds into 2027
** "Our spot mark-to-market analysis points to ~10% upside to 2027 consensus EBITDA before fully capturing support from EU steel policy or improving expectations at Aurubis NAFG.DE," MS says 
** It expects balance-sheet risk to become less of a constraint as the company moves past the SALCOS Phase 1 capex hump and German subsidies and the sale of treasury shares provide additional funding support
** The planned takeover of joint venture HKM adds another source of optionality, strengthening control over slab supply as Russian slab imports are phased out by 2028, the broker says
** Out of 13 analysts that cover Salzgitter, five rate the stock "strong buy" or "buy",​ five "hold" and three "strong sell" or "sell" - LSEG data

(Reporting by Emanuele Berro)
((emanuele.berro@thomsonreuters.com))