Pirelli flies to the stock exchange, the favorable report from Exane Bnp Paribas makes the stock soar in Piazza Affari
Pirelli “Gum” a Business Square, pushed by the favorable report published by Exane Bnp Paribas. The shares, which rose by 4%, recorded an increase of 3%, reaching € 5.92. They therefore exceeded the high of the year at € 5.86 set on 22 November. The analysts of Exane Bnp Paribas they promoted the recommendation on Pirelli from ‘Neutral‘ to ‘Outperform‘, indicating a target price of € 7.50, a much higher level than the stock market price.
According to experts, even if the tire market may deteriorate in 2022, companies such as Pirelli placed on premium tires. In addition, the company led by Marco Tronchetti Provera will benefit from the process electrification of the auto sector. Analysts instead advised caution on Michelin And Continental (‘Neutral’), while they indicated to reduce positions on Nokian.
In practice, according to Exane the resumption of activities pushed tire sales in 2021, despite the shortage of components and the trend in inflation, which “by the end of the year in some cases could double the cost of tires”. But with the slowdown in demand for replacement of tires in 2022, ‘the momentum of manufacturers’ earnings is likely tires it will slow down over the next year, ‘analysts warned.
Pirelli, however, it will save itself since it will benefit from the electrification processes of the car, of which the second Exane will be “the potential winner”, thanks to its growing exposure to high-value tires. Meanwhile, the company continues to be active on the sustainability: was confirmed as the global leader in fight against climate change obtaining a place in the “Climate A list 2021” drawn up by Cdp, the international non-profit organization that collects, disseminates and promotes information on environmental issues.
The rating A is the highest score that can be attributed and was awarded only to 200 companies among the 13 thousand participants, assessed on the basis of the effectiveness of the efforts put in place to reduce emissions ei climatic risks and to develop an economy a low carbon emissions, as well as based on the completeness and transparency of the information provided and the adoption of associated best practices to the environmental impact. According to Provera ankle boots, “The recognition of Cdp testifies once again to the centrality that Pirelli reserve to the challenge to climate changes in its development strategy “.
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