FRANKFURT (dpa-AFX) - Schaeffler shares are poised for an immediate recovery in pre-market trading on Wednesday. On the Tradegate platform, they gained nearly three percent compared to their Xetra closing price, recouping a significant portion of the previous day's losses. On Tuesday, the stock had shed almost four percent, coming under pressure late in the session alongside the broader market.
Sentiment was bolstered on Wednesday by Citigroup's increased optimism regarding further upside potential. Analyst Ross MacDonald of the U.S. bank raised his price target to 13 euros and reaffirmed his 'Buy' rating, even though he removed the '90-Day Upside Catalyst Watch' designation. He pointed to the stock's strong performance, noting it had surged by as much as 84 percent since its annual low in March.
In his research note, MacDonald highlighted accelerating e-mobility trends within the automotive supply business and reduced margin volatility. He noted that medium-term opportunities in humanoid robotics support the valuation, while new activities in the space and defense sectors are also beneficial. However, as is typical for the EU auto parts sector, he cautioned that risks remain multifaceted./tih/jha/
