FRANKFURT (dpa-AFX) - A lowered outlook from Stabilus darkened the outlook for investors in the automotive sector on Wednesday. The share price of the industry supplier, which specializes in gas springs, slumped by up to 17.5 percent. At EUR 46.90, the shares last cost as little as they did in October 2022.

While Stabilus had already become somewhat more pessimistic at the beginning of May, the management has now noticeably cut its outlook due to the lack of recovery. The previous evening, it was announced that the current third quarter was weaker than expected and that the targets for turnover and the adjusted profit margin would therefore be reduced.

Bernstein analyst Stephen Reitman called this "a clear disappointment", as the management is actually known for its reliability. He sees the news as a warning that the improvements that many in the automotive supply industry were hoping for may not materialize in the end. Stabilus seems to be skeptical for the entire global car production, analyst Marc-Rene Tonn from Warburg Research emphasized.

The news from Stabilus dragged the sector down with it. Porsche AG, Volkswagen, BMW and Mercedes-Benz were recently down between 0.5 and 1.3 percent.

In an otherwise recovering stock market environment, the European sub-index Stoxx Europe 600 Automobiles & Parts was the only loser in the sector ranking, down 0.6 percent. At its peak, it had lost up to one percent./tih/edh/mis