Here's the good news for Porsche coming out of Frankfurt...
Merck Finck Upgrades Porsche To Buy
Merck Finck upgrades Porsche (POR3.XE) to buy from sell after positive news from international auto show IAA in Frankfurt. Says '05 unit sales were better than brokerage expected. However, advises caution with regard to '05 profit estimates, expected in November, as analysts' "expectations might be too high." Says new Boxter, 911 models and Cayman will be mid-term revenue drivers. Believes reduced personnel costs, less conservative provisioning policy and 6% p.a. efficiency improvement target will result in slightly increasing margin estimates from '06 onwards. Has EUR720 target. Shares -0.7% at EUR664.6, in negative market. (JUM)
Source: New Ratings
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