HSBC downgrades HeidelbergCement to "neutral"

HSBC downgrades HeidelbergCement to "neutral"
Published: 06 December 2011

HSBC said today it downgraded the stock recommendation of HeidelbergCement to "neutral" from "overweight" and raised its share price target to EUR 34 from EUR 31.

Analyst John Fraser-Andrews said he remains cautious regarding the European building materials sector.

Sales volumes on developed markets as well as revenue in the emerging ones are expected to decline in 2012.

Despite the moderately increased forecasts, the share potential only justifies a "neutral" stock recommendation, the analyst said.