- European markets drop during Tuesday's session
- Investors fear a decline in Hugo Boss margins
- Verbio company revises forecast for full fiscal year 2023/24
General market situation:
Tuesday's session on European markets is not very optimistic. At the moment, all indices from the Old Continent are losing on an intraday basis, with the German DAX losing nearly 0.4%. The declines are largely driven by rising yields on debt securities. Investor attention today turns to CPI readings from Canada and quarterly results from Wall Street banks.
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European companies listed during Tuesday's trading session are generally losing at the moment. Source: xStation 5
Germany's benchmark DE40 is losing nearly 0.38% during today's session. Overall, the benchmark is trading all the time in a local consolidation zone close to historical highs. During today's and yesterday's sessions, DE40 tested the lower limit of this zone. Source: xStation 5
News:
Verbio (VBK.DE) is revising its forecast for the full fiscal year 2023/24 and now expects EBITDA of €120 million to €150 million (previously: €200 million to €250 million; 2022/23: €240.3 million). Net financial debt at the end of the fiscal year is expected to be between €145 million and €175 million (previously: EUR 110 million to EUR 150 million; 2022/23: Net cash of EUR 57.4 million). The main reason for revising the forecast is the continued pressure on ethanol prices and GHG quotas, contrary to expectations, especially due to massive biodiesel imports from Asia, which were probably falsely labeled. After an in-depth analysis, it can no longer be assumed that prices will rebound enough in the short term to reach the previously expected outcome. The company's shares are currently losing nearly 2%.
The company's shares are trading at the lowest levels seen since November 2020. Source: xStation
Hugo Boss (BOSS.DE) shares fell as much as 13% during today's session, their worst day since March 2020. The company's EBIT disappointed, even as sales results for the fourth quarter were solid. The update raised concerns about margins and raised the prospect that estimates may need to be lowered. The company also narrowed its Ebit forecast for the full year, which also fell short of expectations.
The lower-than-consensus forecast for 2023 Ebit Hugo Boss profit was likely due to lower gross margins due to higher promotional activity in both EMEA and the Americas, Goldman Sachs analysts added.
Source: Bloomberg Financial LP
Źródło: xStation
Source: xStation
HelloFresh (HFG.DE) downgraded to sell at Goldman; Target price at €12.20
Grand City Properties (GYC.DE) downgraded to "hold" at SocGen; Target price at €10.50
Aroundtown (AT1.DE) downgraded to sell at SocGen; Target price at €2.25
TAG Immobilien (TEG.DE) downgraded to "hold" at SocGen; Target price at €13.80
Allianz (ALV.DE) upgraded to Buy at Citi; Target price at €272.80
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