Baader Bank Retains 'Add' Rating for Jungheinrich, Sets Target Price at €39
Baader Bank: 'Add' Rating, €39 Target Price for Jungheinrich
Baader Bank has maintained its 'Add' rating for Jungheinrich, a leading provider of intralogistics solutions, and set a target price of €39 for the company's shares. The rating and target price were announced in a research note published on Tuesday, March 7, 2023.
Analyst's Rationale for 'Add' Rating
In the research note, Baader Bank analyst Mirko Engelhardt cited Jungheinrich's strong market position, innovative product portfolio, and execution of its strategic goals as key reasons for the 'Add' rating. Engelhardt highlighted the company's focus on automation and digitalization as key growth drivers in the intralogistics market.
Strong Market Position and Innovation
Jungheinrich holds a significant market share in the global intralogistics industry, with a strong presence in Europe, North America, and Asia. The company offers a comprehensive range of products and services, including forklifts, automated guided vehicles (AGVs), and warehouse management systems (WMS). Its commitment to innovation has resulted in the development of cutting-edge technologies, such as the EZS 350 autonomous forklift and the Jungheinrich Logistics Interface (JLI) software platform.
Execution of Strategic Goals
Baader Bank also recognized Jungheinrich's successful execution of its strategic goals. The company has consistently exceeded market expectations in recent quarters, delivering strong financial results and expanding its market share. In 2022, Jungheinrich reported record order intake and revenue growth, driven by increased demand for intralogistics solutions.
€39 Target Price Supported by Growth Potential and Valuation
Baader Bank's target price of €39 for Jungheinrich is based on the company's growth potential and current valuation. Engelhardt believes that Jungheinrich is well-positioned to benefit from the ongoing trend towards automation and digitalization in the logistics industry. The analyst forecasts continued strong demand for the company's products and services, leading to further market share gains and revenue growth.
In terms of valuation, Engelhardt notes that Jungheinrich is currently trading at a discount to its peers. The analyst believes that the company's strong fundamentals and growth prospects support a higher valuation, justifying the €39 target price.
Conclusion
Baader Bank's 'Add' rating and €39 target price for Jungheinrich are based on the company's strong market position, innovative product portfolio, and execution of its strategic goals. The analyst expects Jungheinrich to continue to benefit from the growing demand for intralogistics solutions and believes that the company is undervalued compared to its peers. Investors may wish to consider adding Jungheinrich to their portfolios for potential upside in the future.
