Kepler Cheuvreux Lowers Target Price for A.P. Møller-Maersk to DKK 9,035 (9,176), Reaffirms Reduce

Kepler Cheuvreux Adjusts Target Price

Kepler Cheuvreux has revised its target price for A.P. Møller-Maersk to DKK 9,035 from the previous DKK 9,176, maintaining its "reduce" rating on the stock.

Analyst Commentary

The analysts at Kepler Cheuvreux noted that the adjustment reflects their updated estimates for Maersk's earnings per share (EPS) in 2023 and 2024. They now expect EPS of DKK 1,850 in 2023, down from their previous estimate of DKK 2,000, and DKK 1,505 in 2024, revised from DKK 1,700 earlier.

The analysts cited several factors for the downward revision, including: * Weaker-than-expected demand in the container shipping market * Increased competition in the logistics sector * Rising costs, particularly for fuel and labor.

Despite the target price reduction, Kepler Cheuvreux acknowledged Maersk's strong market position and its efforts to improve efficiency. However, they believe that the current risks outweigh the potential upside for the stock.