Background and Development
Shock Phase:
The company recently went through a difficult phase, triggered by a revision of its profit target for 2025. The target was adjusted to the lower end of the original profit range, causing initial uncertainty among investors.
Turnaround and Cost-Cutting Measures:
In response, the company tightened its cost-cutting measures. At the same time, it is keeping an eye out for potential acquisitions in high-growth segments. This strategy is intended to help improve profitability and create new growth impulses.
Market Situation and Potential
DAX Environment:
The DAX is currently in an upward trend with price levels around 24,122 points. Volatility (VDAX-New) is declining, indicating a relaxed market situation. Analysts continue to see opportunities for record highs.
Price Potential:
For the mentioned DAX company, a price potential of up to 70 percent is forecasted upon reaching the annual high. This potential arises from a combination of cost reductions (cost-cutting measures), targeted investments in growth areas, and an overall positive market development in the DAX environment.
Strategic Orientation
- Cost-Cutting Measures: Reduction of costs to enhance profitability.
- Acquisitions: Open attitude towards takeovers or participations in promising segments.
- Growth Focus: Emphasis on areas with high growth potential within the company.
Summary
The described DAX company has reacted to a setback from adjustments in its profit target and is now increasingly focusing on efficiency improvements and targeted growth through acquisitions. In the current environment of a strongly rising DAX, analysts see significant price potential of up to 70 percent when reaching the annual high.