Asia stocks edge higher as tech meanders on Nvidia; Hong Kong hit by soft earnings
Investing.com - RBC Capital has reduced its price target for DFDS A/S (CSE:DFDS) (OTC:DFDDF) to DKK170.00 from DKK200.00 while maintaining an Outperform rating on the stock.
The price target reduction follows RBC’s approximately 7% cut to earnings estimates at the EBITDA level for fiscal years 2025 and 2026.
Despite the lowered expectations, RBC analyst Ruairi Cullinane noted that softer comparisons from the fourth quarter and the timing of self-help measures should support improved performance beginning in the fourth quarter of 2025 and continuing into fiscal year 2026.
The analyst expects these improvements to help DFDS reduce leverage, which could lead to multiple re-rating prospects for the stock.
RBC pointed out that on some valuation metrics, DFDS’s valuation multiples are currently suppressed due to what it considers trough earnings.
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