Hensoldt (HAGG.DE) upgraded to 'buy' from 'hold' by Jefferies
Jefferies upgraded Hensoldt to "buy" from "hold", citing an attractive entry point after a share price pullback. The brokerage noted that investor concerns about the company's growth profile have eased due to strong first-half execution.
Jefferies has raised Hensoldt to "buy" from "hold", saying the recent share-price pullback offers an "attractive entry point". The brokerage said concerns about the company’s back-end-loaded growth profile have largely eased after strong first-half execution. It added that rising worries about hybrid attacks and Baltic security should underpin demand for Hensoldt’s radar and electronic warfare portfolio. Jefferies also said the European defense sector has de-rated since mid-August, leaving the stock trading near its lowest valuation since the recent NATO summit.
It cited an expected guidance upgrade in the third quarter, a November investor day and potential new airborne surveillance orders as key catalysts. LSEG data showed that out of 17 analysts covering the company, nine rate it "strong buy" or "buy", seven rate it "hold" and one rates it "sell".