Rainbow Rare Earths Phalaborwa project shaping up to be one of the lowest cost producers globally. Watch the video here.

Less Ads, More Data, More Tools Register for FREE

Pin to quick picksRolls-Royce Share News (RR.)

Share Price Information for Rolls-Royce (RR.)

London Stock Exchange
Share Price is delayed by 15 minutes
Get Live Data
Share Price: 473.20
Bid: 476.40
Ask: 476.60
Change: -12.30 (-2.53%)
Spread: 0.20 (0.042%)
Open: 484.50
High: 488.30
Low: 468.10
Prev. Close: 485.50
RR. Live PriceLast checked at -

Watchlists are a member only feature

Login to your account

Alerts are a premium feature

Login to your account

Berenberg lowers Rolls-Royce to 'sell'

Tue, 16th Jan 2024 09:02

(Sharecast News) - Analysts at Berenberg lowered aerospace and defence giant Rolls-Royce to 'sell' from 'hold' on Tuesday, citing an unfavourable risk/reward scenario, but marked up their target price on the stock from 100.0p to 240.0p.

Berenberg explored the drivers of Rolls-Royce's margin expansion outlook through to 2027, which mostly relate to currency and favourable mix and base effects, some of which it thinks will reverse thereafter.

The German bank stated that pricing, the most important factor for intrinsic valuation, will be "a challenge", given current reliability issues for key engines, which serve an airline industry that typically operates on low margins and appears to be approaching peak earnings.

"The strategy to raise prices while reducing costs on long-term service agreements is key for underlying margins in the lead-up to 2027, and especially thereafter. We are impressed by what we have seen so far, noting Airbus seems to be working closely with Rolls-Royce to enable it to achieve its pricing goals, while customers (notably Emirates) have overtly pushed back on Rolls-Royce's pricing actions, as may be expected," said Berenberg. "However, the economics of an A350 (where Rolls-Royce is the sole source until circa 2030) will change, customers are elastic and there are competing products."

Berenberg added that while there were "many mechanical tailwinds" that should drive up cash and operating margins in the coming three years, to achieve medium-term guidance, Rolls-Royce will need to simultaneously improve cost, reliability and pricing, without any material operational or end-market-driven issues, which history seems to suggest will be easier said than done.

"After the 220% rally in the shares in 2023, the valuation discount to peers has narrowed materially, on a guidance framework that carries more downside that upside risk in the near term, in our view, and mechanically speaking some tailwinds are set to reverse from 2027. Net net, we see the risk/reward in the commercial aerospace division as unfavourable," concluded Berenberg.

Reporting by Iain Gilbert at Sharecast.com

More News
21 Jun 2024 08:13

Citi lifts target price for Rolls-Royce as rally continues

(Sharecast News) - Rolls-Royce's recent share price rally has further to run, according to Citi, which lifted its target price for the stock on Friday.

Read more
20 Jun 2024 09:47

LONDON BROKER RATINGS: UBS raises Landsec; Berenberg cuts SSP

(Alliance News) - The following London-listed shares received analyst recommendations Thursday morning and on Wednesday:

Read more
17 Jun 2024 10:12

PRESS: London overtakes Paris as Europe’s biggest stock market

(Alliance News) - The political upheaval in France has led Paris to lose its spot as Europe’s biggest equity market to London, less than two years after winning that title from the UK, Bloomberg reported on Monday.

Read more
12 Jun 2024 11:12

Sweden's Vattenfall shortlists Rolls-Royce, GE Hitachi for small nuclear reactors

OSLO, June 12 (Reuters) - Sweden's Vattenfall has shortlisted Britain's Rolls-Royce SMR and U.S. group GE Hitachi Nuclear Energy for the potential construction of small modular reactors, the state-owned utility said on Wednesday.

Read more
10 Jun 2024 12:50

Cognizant to acquire Belcan for $1.3 billion

June 10 (Reuters) - Information technology services provider Cognizant Technologies said on Monday it has agreed to acquire digital engineering firm Belcan for nearly $1.3 billion in cash and stock.

Read more
30 May 2024 18:03

Directors dealings: Rolls-Royce non-exec picks up shares near record highs

(Sharecast News) - Rolls-Royce non-executive director Dame Angela Strank picked up some shares in the engineer as its shares hit a fresh record high.

Read more
24 May 2024 13:50

Families of Marines killed in 2022 Osprey crash sue Bell Textron, Boeing, Rolls Royce -Axios

WASHINGTON, May 24 (Reuters) - -- Source link: https://tinyurl.com/rpc2zdfr

Read more
23 May 2024 16:46

London close: Stocks slip on UK election, US jobless claims

(Sharecast News) - London stocks ended lower on Thursday, mirroring Wall Street's decline as jobless claims in the US fell more than anticipated.

Read more
23 May 2024 09:57

TOP NEWS: Rolls-Royce backs outlook as transformation continues apace

(Alliance News) - Rolls-Royce Holdings PLC on Thursday said it made a strong start to 2024, despite continued industry-wide supply chain challenges as it continues its transformation with "pace and intensity".

Read more
23 May 2024 08:05

Rolls-Royce makes 'strong start' to FY24

(Sharecast News) - Aerospace and defence business Rolls-Royce said on Thursday that it had made "a strong start to the year", building on its "record" performance in 2023 despite continued industry-wide supply chain challenges.

Read more
22 May 2024 02:00

British firms expecting hard time in China market, lobby group warns

BEIJING, May 22 (Reuters) - British firms expect doing business in China to become harder over the next five years, a British business lobby group said on Wednesday, as Beijing strives to halt a retreat in foreign funds from a market once seen as the engine of global growth.

Read more
16 May 2024 15:46

UK shareholder meetings calendar - next 7 days

Friday 17 May 
Bank of Cyprus Holdings PLCAGM
Central Asia Metals PLCAGM
Quantum Exponential Group PLCGM re potential substantial investment in company
Monday 20 May 
Georgia Capital PLCAGM
Harworth Group PLCAGM
Hilton Food Group PLCAGM
Itaconix PLCAGM
Malvern International PLCAGM
Windward LtdAGM
Revolution Bars Group PLCGM re fundraising
Tuesday 21 May 
Centamin PLCAGM
Dowlais Group PLCAGM
Empresaria Group PLCAGM
Equals Group PLCAGM
Forterra PLCAGM
Gamma Communications PLCAGM
HydrogenOne Capital Growth PLCAGM
Impact Healthcare REIT PLCAGM
K3 Business Technology Group PLCAGM
M&G Credit Income Investment Trust PLCAGM
Metro Bank Holdings PLCAGM
Portmeirion Group PLCAGM
Riverstone Energy LtdAGM
Sherborne Investors (Guernsey) C LtdAGM
Trustpilot Group PLCAGM
US Solar Fund PLCAGM
Wednesday 22 May 
4imprint Group PLCAGM
Boku IncAGM
Empiric Student Property PLCAGM
Invinity Energy Systems PLCGM re placing of shares
Mindflair PLCGM
PPHE Hotel Group LtdAGM
Riverstone Credit Opportunities Income PLCAGM
Spirent Communications PLCGM re Keysight takeover offer
Staffline Group PLCAGM
Stelrad Group PLCAGM
VH Global Sustainable Energy Opportunities PLCAGM
Zotefoams PLCAGM
Thursday 23 May 
Baillie Gifford Shin Nippon PLCAGM
Bakkavor Group PLCAGM
Bank of Ireland Group PLCAGM
Capricorn Energy PLCAGM
Crossword Cybersecurity PLCAGM
Deliveroo PLCAGM
Energean PLCAGM
Essentra PLCAGM
Ferrexpo PLCAGM
Headlam Group PLCAGM
Hill & Smith PLCAGM
Indivior PLCGM re seeking primary US listing
Inspirit Energy Holdings PLCAGM
Legal & General Group PLCAGM
Life Science REIT PLCAGM
N4 Pharma PLCAGM
Norman Broadbent PLCAGM
Petershill Partners PLCAGM
Prudential PLCAGM
Quilter PLCAGM
Regional REIT LtdAGM
Resolute Mining LtdAGM
Rolls-Royce Holdings PLCAGM
Sabre Insurance Group PLCAGM
Shaftesbury Capital PLCAGM
Spectris PLCAGM
Strip Tinning Holdings PLCAGM
Comments and questions to newsroom@alliancenews.com
A full 21-day events calendar is provided each day with a subscription to Alliance News UK Professional.
Copyright 2024 Alliance News Ltd. All Rights Reserved.

Read more
9 May 2024 10:26

Balfour Beatty says trades in line amid "progress" on pacts

(Alliance News) - Balfour Beatty PLC on Thursday said it has traded in line with expectations so far in 2024, as it makes progress on major deals.

Read more
29 Apr 2024 11:20

Turkish Airlines in talks with Airbus, Boeing to buy 235 planes

ISTANBUL, April 29 (Reuters) - Turkish Airlines is negotiating with both Airbus and Boeing about buying 235 aircraft as part of its expansion plans, Chairman Ahmet Bolat said on Monday.

Read more
29 Apr 2024 09:58

Turkish Airlines says it is strengthening ties with Rolls-Royce, Airbus

ISTANBUL, April 29 (Reuters) - Turkish Airlines said on Monday Rolls-Royce was exploring the potential establishment in Turkey of maintenance, repair and overhaul capabilities and further supply chain sourcing, in line with their partnership.

Read more

Login to your account

Don't have an account? Click here to register.

Quickpicks are a member only feature

Login to your account

Don't have an account? Click here to register.