⏳ Final hours! Save up to 55% OFF InvestingProCLAIM SALE

Goldman Sachs upgrades Renault stock due to strong new product lineup

EditorEmilio Ghigini
Published 05/29/2024, 05:06 PM
RENA
-

On Wednesday, Goldman Sachs showed confidence in Renault SA (OTC:RNLSY) (RNO:FP) (OTC: RNSDF), upgrading the stock from Neutral to Buy and increasing the price target to €70.00 from the previous €51.00.

The investment firm anticipates that Renault (EPA:RENA) will benefit from a strong lineup of new products expected to be released in the near future.

The analyst from Goldman Sachs highlighted the company's robust product cadence as a key driver for the upgrade. Renault is expected to launch 10 new products in 2024, which could significantly boost the company's automotive EBIT (Earnings Before Interest and Taxes) by 21.5% in 2024 and 30.5% in 2025, compared to 2023.

The optimism surrounding Renault's stock is further supported by several key product launches scheduled for 2023. These products are anticipated to contribute economically on a full-year basis, which has not yet been reflected in the company's financials.

Goldman Sachs' outlook for Renault is based on the potential financial impact of the new product launches. The firm estimates that these launches, on a gross basis, could provide a substantial incremental contribution to the automaker's EBIT in the next two years.

The upgrade and price target adjustment for Renault come at a time when the automotive industry is keenly observing market trends and consumer demand for innovative products.

Renault's upcoming offerings are expected to play a significant role in the company's financial performance and market position.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.