A negative week for the European tyre sector, penalised by the progressive rise in the cost of natural rubber, which has reached new peaks.
Pirelli closed the week at €0.436, down by 4%, in line with the trend of its main peers (Michelin -4%, Nokian -4.2%).
During the week Société Générale upgraded Pirelli to a TP of €0.54 (from €0.50) after reviewing its assessment of the tyre business while Intermonte expressed a neutral view on Pirelli & C given the current trend in prices of raw materials, its assessment of the share, with TP at €0.50, remained unchanged.
The current Consensus Target Price is around € 0.52, with Buy as the prevailing recommendation (88% of coverage by 19 brokers).
Pirelli RE closed the week at €0.459, slightly down from 0.5%.