Deutsche Bank Lifts Lenzing Target on Improving Underlying Margin as Heiligenkreuz Sale Draws Crowd
Published on 11/09/2026 at 19:52 | Editorial boerse-global.de
Deutsche Bank Research raised its price target on Lenzing from EUR 12.70 to EUR 14.30 on Friday, keeping a "Hold" rating on the Austrian fibre maker. Analyst Lars Vom-Cleff pointed to better underlying profitability in the third quarter as the reason for the higher mark, while cautioning that the recovery is not yet complete. The shares slipped 0.8% on the day.
The upgrade lands as Lenzing works through the financial fallout of a sweeping restructuring. Nine-month figures for 2026, published roughly two weeks ago, showed adjusted EBITDA of EUR 353 Mio. Reported EBITDA came in at EUR 316.4 Mio. after restructuring effects of EUR 36.6 Mio. EBIT, however, stood at EUR -55.1 Mio., dragged down in part by impairments of EUR 136.1 Mio. at the Heiligenkreuz and Grimsby production sites. Revenue reached EUR 1.93 Mrd., and media reports put the net loss at EUR 130.3 Mio., wider than the EUR -105 Mio. recorded a year earlier.
The balance sheet has since been reinforced. Lenzing completed a capital increase of around EUR 300 Mio. a little over three weeks ago, supplemented by media reports of further financing arrangements totalling roughly the same amount.
Should investors sell immediately? Or is it worth buying Lenzing?
Ownership details emerged on 29 October. Suzano Holding S.A. took a direct stake of about 0.80% in Lenzing, while the shareholder syndicate of B&C-Gruppe and Suzano S.A. continued to hold around 52.25% of voting rights. Goldman Sachs Group held 5.86% of Lenzing shares, according to company disclosures.
Attention is now turning to the fate of the Heiligenkreuz plant. Media reports suggest around 30 possible suitors have expressed interest in a takeover. Production there is set to continue until the end of March 2027, with the field of candidates due to be narrowed in mid-November and a decision on a potential new owner targeted by the end of the year.
Broader market weakness added pressure on Friday. Lenzing ranked among the biggest decliners in Vienna during early trading, according to dpa-APA, as sharp losses on US and Asian exchanges weighed on sentiment and the Vienna Stock Exchange as a whole retreated.
Investors will get the next scheduled update on 18 March 2027, when Lenzing plans to publish its full-year 2026 results.
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