FRANKFURT (dpa-AFX) - The shares of printing press manufacturers Heidelberger Druck and Koenig & Bauer benefited on Tuesday from a positive follow-up to the Drupa trade fair. At Heidelberger Druck, the focus was also on the outlook for the new financial year.

Around midday, Heidelberger Druck was one of the biggest gainers in the SDax, up 3.1 percent to EUR 1.19. Koenig & Bauer - formerly also a member of the small cap index - initially reached a high since mid-September at EUR 14.48, before maintaining a rise of 3.5 percent to EUR 14.34. The shares thus slipped back into the SDax. The shares thus slipped back into the consolidation range of the past few days following the previous price increase.

In the year to date, the performance of the two shares has diverged significantly: while the Heidelberg shares have fallen by four percent, Koenig & Bauer has risen by 18.5 percent. The latter has the recovery rally of the past three weeks to thank for this.

Heidelberger Druck has also been on an upward trend since mid-May, although there have been repeated setbacks in the share price in between. Just under a week ago, it was also announced that Heidelberger Druck would be leaving the SDax as of June 24.

According to its own announcement, Koenig & Bauer has received new orders totaling EUR 250 million since the end of last month. These were placed both at and outside Drupa.

Heidelberger Druck made similar statements. Many orders placed at the trade fair have apparently led to a recovery in order intake. This had fallen by around 6 percent to just under 2.3 billion euros in the last financial year (as at the end of March). In the first quarter of the new financial year, incoming orders are expected to be around 650 million euros, it has now been announced. However, the company remains cautious for the year. Turnover is expected to remain at the previous year's level, as are earnings before interest, taxes, depreciation and amortization (EBITDA) adjusted for special effects.

Analyst Peter Rothenaicher from Baader Bank nevertheless attested the Heidelberg-based company a cautiously optimistic outlook for 2024/25, stating that the forecast uncertainties are high in view of the geopolitical and economic environment and that the growth potential up to 2026/27 appears limited. However, thanks to an improved cost structure and available cash, the company is significantly more crisis-resistant than in the past. Meanwhile, the final figures for 2024/25 did not contain any major surprises.

Florian Sager from the investment bank Stifel sees both these figures and the outlook in line with expectations. He praised the fact that Heidelberger Druck had achieved the highest cash inflow in ten years thanks to the value enhancement program outlined a few months ago. With stable sales and margins, the cash development and the recovery in orders, the company is on the right track.

Both experts also emphasized the attractive valuation of Heidelberger Druck shares. Rothenaicher's target price of 2 euros gives it a full potential of more than two thirds. But Sager also sees a good 9 percent upside potential at 1.30 euros.

Analyst Jorge Gonzales Sadornil from Hauck Aufhäuser Investment Banking confirmed that competitor Koenig & Bauer had a successful Drupa with an extraordinarily positive order intake. He therefore raised his estimates, increased the target price for the share from EUR 14.00 to EUR 18.50 and now recommends buying. The new target is 29 percent above the current valuation level./gl/tih/mis