Bond.az - Berenberg lowered its price target on Rheinmetall AG stock to EUR1,750 from EUR2,100 while maintaining a Buy rating.
The firm said Rheinmetall's revenue visibility will improve materially by year-end. Revenue under contract in fiscal year 2027 could increase by 30 percentage points by the end of the year, according to Berenberg's bottom-up model.
The model assumes all existing framework contracts will be converted to firm orders and that defense orders are received in line with company guidance. Berenberg trimmed its estimate of the size of the German Boxer Arminius contract by EUR9 billion.
The sell-off since the first-quarter release offers an attractive entry point. The stock currently trades at $266.87, hovering near its 52-week low of $259.89, after declining 32.5% over the past six months.
