Ahead
of
the
upcoming
earnings
season,
Deutsche
Bank
has
cut
price
targets
on
nearly
30
European
stocks
this
week
and
upgraded
just
one
to
“buy.”
The
bank’s
biggest
cut
to
price
target
was
for
Denmark’s
energy
giant,
Orsted
.
Deutsche’s
analysts
lowered
their
12-month
share
price
forecast
by
36%
to
450
Danish
krone
($64)
on
Oct.
16.
The
stock
has
nearly
halved
in
value
this
year
and
currently
trades
around
320
krone.
D2G-DE
YTD
line
The
analysts
had
previously
highlighted
challenges
in
the
wind
turbine
industry,
where
Orsted
is
a
significant
player,
including
supplier
delays,
lower
tax
credits,
and
rising
rates.
Orsted’s
shares
also
tanked
after
the
company
raised
the
possibility
of
a
potential
2.1
billion
euro
($2.22 billion)
impairment
charge
in
its
U.S.
offshore
wind
portfolio.
The
table
below
shows
the
10
out
of
28
stocks
with
the
biggest
cuts
to
price
targets,
according
to
the
Deutsche
Bank
note
on
Oct.
16:
Deutsche
Bank
lowered
its
price
target
on
Swiss
construction
chemicals
maker
Sika
by
4%,
saying
the
Swiss
Franc’s
“safe-haven”
status
is
counteracting
gains
from
an
earlier
acquisition.
In
online
food
delivery,
Deutsche
Bank
said
its
proprietary
data
shows
demand
stabilizing
for
takeaway
apps
across
markets
it
monitors.
The
analysts
said
they
expect
to
hear
a
reassuring
message
on
demand
outlook
from
Delivery
Hero
and
Just
Eat
Takeaway.com
but
cut
their
price
targets
on
both
stocks
by
5.7%
and
11%,
respectively.
They
maintained
a
“buy”
rating
on
Takeaway.com
and
a
“hold”
rating
on
Delivery
Hero.
Elsewhere
in
the
European
utility
sector,
the
investment
bank
struck
a
positive
tone
in
its
outlook
despite
the
price
target
cuts.
It
said
investors
overestimate
the
impact
of
rising
bond
yields
and
are
becoming
too
pessimistic
about
the
renewable
energy
outlook.
Deutsche
Bank
analysts
prefer
integrated
utilities
like
RWE
,
Enel
,
SSE
,
and
E.ON
,
reiterating
“buy”
ratings
on
the
stocks
but
lowering
their
price
targets
by
2%
and
12%.
Deutsche
Bank
said
rising
rates
are
shifting
from
a
tailwind
to
a
headwind
for
Italian
lenders
as
higher
yields
dampen
client
appetite
for
managed
assets.
Fineco
Bank
was
downgraded
to
hold
as
the
“cash-sorting
effect”
—
where
clients
move
uninvested
cash
into
cash-like
investments
—
impacts
share
price
performance
and
will
likely
remain
negative
for
the
“foreseeable
future,”
according
to
the
bank.
The
only
upgrade
The
Deutsche
Bank
analysts
only
upgraded
their
rating
on
one
stock:
Italian
natural
gas
company
Italgas
,
which
it
increased
to
“buy,”
although
it
lowered
its
price
target
on
the
stock
by
5%.
