Rising CO2 prices will result in cement price increases in our opinion, as well as a rebalancing of export trade flows from Europe to emerging countries. The combined effect of rising electricity prices in Europe (as a result of CO2 prices going through the roof) and lower fuel prices should result in savings in H2 19. Following this earnings release, we expect to maintain our recommendation with a slightly higher target price.

08 Aug 2019
H1 19: CO2 prices up resulting in increased pricing and trade rebalancing

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H1 19: CO2 prices up resulting in increased pricing and trade rebalancing
Heidelberg Materials AG (HEI:WBO) | 0 0 0.1% | Mkt Cap: 16,548m
- Published:
08 Aug 2019 -
Author:
Felix Brunotte -
Pages:
3 -
Rising CO2 prices will result in cement price increases in our opinion, as well as a rebalancing of export trade flows from Europe to emerging countries. The combined effect of rising electricity prices in Europe (as a result of CO2 prices going through the roof) and lower fuel prices should result in savings in H2 19. Following this earnings release, we expect to maintain our recommendation with a slightly higher target price.