'On the road again' - Berenberg upgrades Sixt seeing growth ahead

Sixt SE

01/04/2022 10:05

** Berenberg upgrades Sixt  SIXG.DE  to "buy" from "hold",
as it sees the German rental car company benefiting from several
factors that will allow for sales and EBT growth
    ** The brokerage says that amid ongoing tight vehicle
supply, Sixt was the only player to increase its fleet size in
2021, which in its view proves Sixt's strong relationships with
carmakers and its superior sourcing capabilities
    ** It adds that tight supply and a continued increase in
tourism and business travel should have a further positive
impact on pricing in 2022
    ** Berenberg says Sixt is now in a good position to benefit
from increasing international travel to the U.S., as it has
acquired 10 airport concessions in a bankruptcy sale during the
COVID-19 pandemic
    ** The broker forecasts Sixt to achieve sales compound
annual growth rate 2021-2024 at 14.9%, as well as an EBT margin
at 14.4% in 2024
    ** Out of 11 analysts that cover Sixt, eight rate the stock
"strong buy" or "buy", ​two rate "hold" and one rates it "sell"

 (Reporting by Tristan Chabba)
 ((Tristan.chabba@thomsonreuters.com))