ThyssenKrupp
Note: This is a daily stock update and the information stands true as of 27/05/25, 09:00 CET.
Company Update:
Expert Opinion:
This is a sensible news as the group was consisetntly bleeding cash. By separating these etities, each will be able to adjust their investement projetcs based on their own cash flow generation or consumption. According to our analyst, this move will aslo enable to value the group on a sum of the part approach where the group could fetch €10 vs €9.4 currently). Despite these, our expert would not invest a dime in ThyssenKrupp at this stage. There may be interesting prospects but he will wait for the deconsolidation of steel. The cash required to do the decarbonation of steel production is massive. The risk reward profile is far too skewed to the downside at this stage.
For daily updates, subscribe to our newsletter and for detailed information, reach out to us at sales@alphavalue.eu
Company Update:
Following articles in the press, ThyssenKrupp released a statement confirming its willingness to turn the company is a strategic holding with independant companies.
The spin-off of marine systems is on its way with an extraordinary meeting of the supervisory board in August. It should be completed this year.
It should be followed by the deconsolidation of Steel Europe with the planned disposal of another 30% to EPCG.
Materials Services and Automotive Technology are also to be prepared for the capital markets and become independent as soon as the necessary preconditions have been met. The last one will be the newly created Decrabonation technology.
This is a sensible news as the group was consisetntly bleeding cash. By separating these etities, each will be able to adjust their investement projetcs based on their own cash flow generation or consumption. According to our analyst, this move will aslo enable to value the group on a sum of the part approach where the group could fetch €10 vs €9.4 currently). Despite these, our expert would not invest a dime in ThyssenKrupp at this stage. There may be interesting prospects but he will wait for the deconsolidation of steel. The cash required to do the decarbonation of steel production is massive. The risk reward profile is far too skewed to the downside at this stage.
For daily updates, subscribe to our newsletter and for detailed information, reach out to us at sales@alphavalue.eu
Subscribe to our blog
Alphavalue Morning Market Tip
Strong beat in Q1 operationally partially offset by weaker net investment income.
