Q3 margin beat enough to lift SKF shares

SKF AB

30/10/2024 08:51

** Shares in SKF  SKFb.ST  rise over 5% after the Swedish
industrial bearings maker's Q3 margin beat consensus despite 
lower market demand across most regions and industries
    ** SKF flagged particularly weak demand in China and within
Automotive
    ** J.P.Morgan notes the adj. EBIT margin of 11.9% beating
the 11.4% seen by consensus, despite organic sales miss (-4.4%
vs consensus of -2.9%) 
        ** "For the stock today, expectations were low coming
in, with the 2024 guidance cut expected," JPM added
  
    ** Jefferies also notes the better margin development, and
better execution, adding that it sees consensus estimates will
not change much 
    ** The stock, on track for best day since Feb. 2023, is one
of top performers on pan-European STOXX 600  .STOXX  index

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