ARCHIVE

Investor Channel is the communication channel between Pirelli and the financial community. Analysts, shareholders and web users can use the channel for direct dialogue with the Group. The blog is moderated by Pirelli Investor Relations.

Share to Facebook Share to Linkedin Share to Twitter More...

PEERS & MARKETS

The principal financial markets were up at the end of the week 11 to 15 October  (Milan +1.5%, London +0.8%, Frankfurt +3.2%, Paris +1.7%) buoyed by the prospect of new measures from the Federal Reserve to stimulate the economy.
At sector level, the highest price rises were in the Industrial (+3.3%) and Auto & Parts (+3.9%) sectors.
Pirelli shares performed particularly well, confirming their position among the best stocks on the market. +6.6% to €6.39. Pirelli outperformed the FTSE MIB (+5.1pp) and the European reference index for the industry (+2.7pp vs DJ STOXX Auto&Parts) once again claiming the position of best Blue Chip share of the week (+47.7pp YTD). Mean trading volumes were steady at around 5 million trades.
After the upgrade of the guidance on the full year 2010, 7 brokers (Intermonte, UBS, Chevreux, Equita, Banca Akros, Banca Leonardo, Exane) raised their valuation of Pirelli by an average of €0.07 with a Target Price di €7 . For Intermonte (Outperform a €7.60) Pirelli was able to bridge the gap in value compared to its peers thanks to a continued focus on tyres, and deserves to be traded at premium, given its business positioning. For UBS (BUY at €7) Pirelli’s positive momentum continued, with the presentation of a new industrial plan that is expected to provide good indications for future operational trends, disposals and the efficiency plan.
This was in contrast with its principal European peers: Michelin +4.4%, Continental +6.8%, Nokian -0.6%.
Pirelli RE closed the week at € 0.434, a fall of 7.6%.


Write a comment »

Share to Facebook Share to Linkedin Share to Twitter More...

PEERS & MARKETS

Major international stock markets ended the week in positive territory  (Milan +1.8%, London +1.2%, Frankfurt +1.3% and Paris +1.9%) reflecting positive macroeconomic newsflow: official rates near zero in Japan and unchanged for ECB (1%) with positive indications on the condition of global financial institutions from ECB and IMF. The European Auto & Parts sector increased by 1.1%.
Pirelli ends the week positively by 0.7% at € 5.995 after reaching new highs on October 7th (€6.05). The stock is once again confirmed as the best performer on the FTSE Mib +40.5pp YTD. Volumes in line with the last 3 months: 3.5 million trades. Unicredit reaffirmed its BUY recommendation on the stock, raising the TP to €6.6 (from €6.1). The positive turn in the sector and Pirelli’s strategic position compared to its peers, particularly on emerging markets, have led to a review on the companies forecasts: Ebit margin tyre 2010E 8.5% (Ebit € 397 mln ), 9% 2012E (Ebit € 449.7 mln ). Centrobanca confirms positive forecasts (TP €6.29, BUY recommendation) considering Pirelli as a least risky stock of the international sector.
Major European peers ended the week with a mixed result: Continental -0.6%, Nokian +1.7%. Michelin recovered partial losses (-15.05% from the previous day before the share capital increase announcement) ending the week with a +2.7% performance.
Pirelli RE continues its positive trend ending the week at 0.47 increased by 6.7%: remaining the only positive stock from the sector along with IGD (+8.3%)


Write a comment »

Share to Facebook Share to Linkedin Share to Twitter More...

PEERS & MARKETS

International stock markets ended the week September 27th – October 1st negatively (Milan -1.1%, London -0.1%, Frankfurt -1.4% and Paris -2.4%). Ongoing conflicting macroeconomic data, expected decisions by Ecofin on the debt of non-core countries from the Euro zone and fear on Irish and Portuguese bonds have raise doubts on purchase prices and encouraged profit-taking.
The Oil&Gas sector and the Technology sector have shown good performance of +1.6% and +0.33%, respectively; which are the only sectors that ended positively.
Pirelli showed a positive trend for most part of the week, exceeding the share price of 6 euros (€6.06 reported last September 30), thereby reflecting the increase on US prices (up to 7% on the entire range) and reflecting the positive opinion from stock analysts during the Paris Motor Show on Pirelli’s strategic position vs. its peers. However, end-of-the-week profit-taking (-2.6% European Reference Index) lead to drop in Pirelli stock to € 5.96 (-0.4%). Volumes settled at an average of 5 million pieces (higher compared to the last three months).
The Consensus target price for Pirelli settles at €6.35 (a buy recommendation prevails on coverage by analysts: 79%).
Michelin drops in view of the unexpected announcement on the share capital increase of  €1.2 billion, ending the week with a 14.8% decline. The stock also suffered downgrades by Merrill Lynch and Morgan Stanley.
However, the market reacted different to the announcement of Continental (+0.9%) to issue an additional bond of €1.25 billion (in 2 tranches with maturity on 2016 and 2018 and coupons of 6.5% and 7.125%, respectively). Nokian also ended the week positively (+1.3%).
Rebound by Pirelli RE of 1.1% to €0.44.


Write a comment »


1 - 3 of 38 for the category: Pirelli RE