Market Watch: Kone Oyj’s Stock Price Faces Moderate Decline Amid Analyst Optimism

Kone Oyj, a Finnish leader in elevator and escalator solutions, has seen its stock price experience a moderate decline in recent times. However, analysts at Kepler Cheuvreux remain steadfast in their assessment of the company’s prospects, reiterating their “hold” recommendation and a price target of 55 euros.

According to Kepler Cheuvreux, Kone’s stable valuation multiples are expected to be driven by strong growth in the Service and Modernization segments. The analysts also highlight the company’s positive business mix and cost savings from efficiency programs as key factors contributing to its resilience.

Notably, the analysts at Kepler Cheuvreux have downplayed the impact of tariffs on Kone’s business, citing that imports to the US account for less than 10% of the company’s American sales. This assessment suggests that the company’s exposure to trade tensions is relatively limited.

Key Takeaways:

• Kepler Cheuvreux maintains a “hold” recommendation for Kone Oyj
• Price target of 55 euros reaffirmed
• Strong growth in Service and Modernization segments expected to drive stable valuation multiples
• Positive business mix and cost savings from efficiency programs to contribute to the company’s resilience
• Limited impact of tariffs expected due to low exposure to US imports