Deutsche Bank lowers target price on TI Fluid Systems

4th Nov 2022 09:27

(Sharecast News) - Analysts at Deutsche Bank lowered their target price on manufacturer TI Fluid Systems from 180.0p to 220.0p on Friday following a "slight miss" on Q3 earnings and guidance that came in below market expectations.

Deutsche Bank said TI Fluid Systems had reported "somewhat soft" Q3 results, with a miss on the top line versus its estimates and an "implicit guidance cut"

"We see consensus numbers moving down on the back of the print," warned Deutsche, which stood by its 'hold' rating on the stock.

With that said, DB also noted that it already sits at the new underlying earnings margin guide for the full year.

"Following Q2, cost inflation recovery with customers remains a key point of discussion, and looking ahead there is likely more to be done as energy and wage inflation bite," said the German bank. "As a result, we factor in headwinds into 2023 as well as macro uncertainty and adjust our TP to 180.0p."

Reporting by Iain Gilbert at Sharecast.com