Fox Petrolub Stock: Strong Performance Since Q3 Results

Last Updated: 8. Dezember 2023By

The Fuchs Petrolub stock has gained nearly 20% in the current year so far. In the last weeks since the presentation of the nine-month figures, the paper has climbed around 13% – and is now back almost at 40 euros (as of 08 December, around 11 a.m.).

Now Fuchs Petrolub has announced that it will extend its current share buyback program until the end of September 2024. In the medium term, the lubricant manufacturer is well positioned and still offers potential. However, the economy should also move in the right direction.

After the strong quarterly figures (the EBIT was around 12% above the value of the previous year after 9 months with 313 million euros, the profit after taxes was 10% above the previous year with 219 million euros), Fuchs Petrolub also confirmed the targets for the full year 2023. Sales are expected to be 3.6 billion euros and the EBIT 390 million euros.

Another good news for investors: Fuchs has extended and expanded the share buyback program, which has been running since June 2022. By the end of September 2024, a total of shares are to be bought back for a maximum of 280 million euros – an extension of the program by 80 million euros.

After the Fuchs Petrolub stock had dropped sharply in the first half of 2022, the performance of the lubricant manufacturer’s paper has recently been convincing again. With revenue and earnings growth in the background, the prospects for the coming quarters are also decent. For example, the goals of the mid-term strategy Fuchs2025 include an EBIT margin of 15%.

The extended share buyback program is now another indication that the corporate management is looking optimistically at the coming year 2024 and beyond. For a long time, the Fuchs Petrolub stock was known as a growth value with little volatility and setbacks – it is conceivable that the paper is now developing in this direction again. Medium and long-term oriented investors should keep an eye on the Fuchs stock.