On Wednesday, Bernstein raised its recommendation on Schneider Electric shares to 'outperform' from 'underperform', while raising its price target from €110 to €149.

The intermediary explains that it has changed its opinion on several European industrial and capital goods stocks, believing that it is now time to turn positive on the sector once again.

After a difficult 2022 (war in Ukraine, rising energy prices, inflation, rising interest rates, threats of recession, etc.), Bernstein believes that the worst is largely over for industrial groups on the Old Continent.

He also points out that the sector is usually sheltered from economic downturns, as customer demand for efficiency-enhancing processes tends to increase in times of crisis.

The analyst considers that all these factors should favor a revaluation of the sector, and raises his recommendation on five stocks, namely Assa Abloy, Dassault Systèmes, Legrand, Schneider and Siemens.

Within the sector, the intermediary now displays seven buy recommendations, three 'neutral' opinions and four sell recommendations.

Copyright (c) 2023 CercleFinance.com. All rights reserved.
The information and analyses published by Cercle Finance are intended solely as a decision-making aid for investors. Cercle Finance cannot be held responsible, directly or indirectly, for the use of information and analyses by readers. Uninformed investors are advised to consult a professional advisor before investing. This information does not constitute an invitation to sell or a solicitation to buy.