Hochtief: Strong dividend possible

In the first three quarters, sales at Hochtief fell by 4.5 percent to 17.908 billion euros. Incoming orders fell by 22 percent to 16.864 billion euros. The order backlog stands at 48.956 billion euros, a decrease of 3.0 percent. The pre-tax profit drops by around 25 percent to 580.3 million euros. Nevertheless: Overall, Hochtief has come through the pandemic quite well so far. This applies to the entire construction industry.

The analysts of Nord LB confirm the hold recommendation for the shares of Hochtief. The price target so far was 80.00 euros. In the new study, it sinks to 70.00 euros. This is a market reaction, say the experts.

The experts assume that Hochtief will be clearly in the black in 2020. They expect earnings per share of EUR 6.80 and a dividend of EUR 3.20. This results in a dividend yield of 4.6 percent. For 2021, they forecast earnings per share of EUR 9.91 or a dividend of EUR 5.50. That corresponds to a return of 8.0 percent.

Hochtief’s shares gain 1.4 percent to 69.10 euros at noon.


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