Covestro stock: Numbers ahead, takeover on the mind

Last Updated: 20. Februar 2024By

Covestro stock has been in a holding pattern for months. Ever since rumors of a possible takeover by Abu Dhabi National Oil Company (Adnoc), the oil giant from the United Arab Emirates, emerged in June 2023, one topic has been dominating the stock price of the materials manufacturer.

Investors will have to continue to be patient in this matter, so other things are now coming into focus. Next week, Covestro will release its figures for the 2023 fiscal year and provide an outlook for the current year. Excitingly, the ongoing acquisition negotiations may also be addressed.

Covestro: Fresh numbers and new goals After the nine-month figures, the chemical company from Leverkusen lowered its targets for the full year. In 2023, sales are expected to be between 14 and 14.5 billion euros โ€“ well below the 18 billion of the previous year. Covestro forecasts EBITDA of 1.1 billion euros.

Previously, the company had planned for EBITDA between 1.1 and 1.6 billion euros. Next Thursday, February 29th, it will be seen whether the DAX company was able to at least reach these target ranges. However, the outlook for the current year will be even more exciting for investors. Covestro currently expects improved demand only in the second half of 2024.

Covestro stock: overshadowed by takeover The business figures for the past year and the forecast for 2024 are likely to provide momentum for the Covestro stock. Therefore, investors should continue to keep an eye on February 29th. However, this is also overshadowed at the beginning of this year by the possible takeover by Adnoc from the United Arab Emirates.

Currently, the acquisition negotiations seem to be at a standstill. According to a report by the „Handelsblatt“, there has been no progress. Official talks between Covestro and Abu Dhabi National Oil Company have been ongoing since September. For investors, it remains the same for now: if there is a deal, it is likely to be very advantageous for Covestro shareholders. If the talks fail, initial losses in the share price are likely.