ThyssenKrupp: Huge opportunity before the numbers?

Last Updated: 7. Februar 2024By

In recent weeks, the stock of ThyssenKrupp has greatly disappointed investors and undoubtedly also analysts. However, the industrial conglomerate is now facing an important deadline that may also be of interest and relevance to you: On February 14, just one week from now, ThyssenKrupp will announce its first-quarter figures. ThyssenKrupp has a fiscal year that differs from the calendar year, so these numbers come earlier than other major companies.

ThyssenKrupp is said to be getting „back on track“. Concern for the company is quite high. CEO Miguel López stated that he had received a „clear mandate“ from the capital market in discussions. The company must in the future „offer more than a minimal return and an unsatisfactory stock price“. I will come back to this – because this is a point that can be interesting.

Recently, ThyssenKrupp has been suffering from severe economic disappointment. The company ended the last fiscal year with write-offs in the billions for the steel sector. The loss was estimated at over 2 billion euros. But even ThyssenKrupp’s revenue has decreased – by about 9% to 37.5 billion euros.

The big question from different sectors of shareholders is that no one really knows what the company stands for anymore and why investors should continue to provide their money. In fact, it is not quite clear in which direction the steel and marine cores will develop. In addition, ThyssenKrupp wants to continue to be involved in the hydrogen industry with a subsidiary.

Analysts are optimistic, though. This could also be good news. Because ThyssenKrupp is not at the top and not expensive, but possibly a growth case, although the economy in Germany is currently stalling. According to Marketscreener, analysts currently see the stock price at 9.18 euros on average. That would be a gain of over 65%, as the stock is currently trading at 5.54 euros!

Revenue may be slightly weaker, but could remain at around the same level as last year. The net result of approximately 490 million euros is compared to a market capitalization of around 3.4 billion euros. This currently results in a P/E ratio of around 7, which is not necessarily high.

In addition, ThyssenKrupp is not changing its dividend policy. This means a dividend yield of around 3% is possible. This means: At the very least, I expect an interesting and potentially encouraging presentation of the quarterly figures in a week. Do not underestimate ThyssenKrupp – especially at its current low point.

ThyssenKrupp: Over 65% potential? – WKN: 750000 – ISIN: DE0007500001 Source: https://fundamental.aktienscreener.com/DE0007500001/EI/thyssenkrupp-ag/data