Alert to Investors: DAX Securities Set New Record Highs
Rally Ahead! Heidelberg Materials Soars to New Heights
Looks like the rally for Heidelberg Materials is far from over! Yesterday, the construction materials giant's stock shot to a staggering new record high of 192.25 euros during trading. By the end of the day, it closed at 191.15 euros, celebrating a robust 1.8% gain.
The surge over the previous record high, which was set back in May, has ignited a fresh buy signal. According to the charts, the climb looks promising, with seemingly smooth sailing ahead. To top it off, Heidelberg Materials' shares have also been buoyed by an array of bullish analyst comments.
Analyst firm Jefferies, for one, maintained its "Buy" rating and increased its price target for Heidelberg Materials to an astounding 217.70 euros. Analyst Glynis Johnson sees a robust 5.5% organic growth in operating profit (EBITDA) in the second quarter, a figure we'll see later in July when the figures are released. Despite the steep price hike, Jefferies believes the stock still offers a prime opportunity to capitalize on Europe's ongoing economic recovery.
JPMorgan, the renowned US investment bank, also remains optimistic about the DAX company. As the quarterly results approach, analyst Elodie Rall reaffirmed her "Overweight" rating and kept the price target steady at 220 euros. Rall foresees adjusted EBITDA growth of nearly three percent compared to the previous year.
Investment Alert: If you're contemplating purchasing Heidelberg Materials (WKN: 604700), the outlook looks bright, and the valuation is within a reasonably attractive range. Moreover, a new buy signal has surfaced. Investors might consider keeping their hold on this DAX stock, with a stop-loss still at a conservative 132.00 euros.
A quick peek at the overall sentiment among analysts and the company's viewpoint reveals a resoundingly positive outlook for Heidelberg Materials' growth prospects, operational improvements, and market position through 2025 and beyond. [1] [2] [3] [4] [5] The company is poised to capitalize on a European market recovery, infrastructure stimulus, and decarbonization efforts, which could result in profitable growth and operational efficiency improvements by 2030. The company expects strong sales momentum for 2025–26, projecting roughly €2.35 billion in revenue and an EBITDA margin climbing to 8%. Investing in Heidelberg Materials could prove an exciting endeavor as it navigates a path to success over the coming years.
Heidelberg Materials' stock surge and positive analyst comments indicate an ideal opportunity for investing in the stock-market. Analysts, such as Jefferies with a price target of 217.70 euros and JPMorgan with a target of 220 euros, remain optimistic about the company's growth prospects, particularly in the context of Europe's economic recovery.
