Lufthansa: Price has high downside risk

Lufthansa is in crisis. A federal rescue package including credit and capital increase is intended to mitigate the consequences of the pandemic. At the same time, however, this also leads to a watering down of profits.

Barclays analysts incorporate recent Lufthansa events into their share model. As before, there is an “underweight” rating for Lufthansa shares. The target price for the airline’s papers was previously at 6.20 euros. In the current study, it drops to 4.50 euros. Profit expectations will also be adjusted based on the new number of shares.

In the coming years, Lufthansa will have to put a lot of effort into restructuring the group. The loans should also be repaid as quickly as possible.

Lufthansa shares are now almost unchanged at EUR 11.85. From the analysts’ point of view, the share therefore has a very high downside potential.

At a glance – chart and news: Lufthansa

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