(News Bulletin 247) – Oddo BHF is downgrading its recommendation from ‘neutral’ to ‘underperforming’ on Salzgitter, given the potential drop in the current price compared to its unchanged target price of 32 euros on the share of the group of German steel industry.

‘Salzgitter has posted a rather satisfactory recent stock market performance (+37% over the last six months) but this largely reflects the performance of its stake in Aurubis (+46% over the same period) which now weighs 55% of the capitalization of market,’ he said.

In the sector, the design office says ‘favor ArcelorMittal for its diversification outside Europe and its integration into raw materials and Voestalpine for its more buoyant business profile’.

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