RWE

Bet on a CDU election victory in Germany

Well, it is foreseeable that the sceptres in our country will soon be realigned again. In the course of this, the losers ($MMK (-1,05 %) ) can be replaced by potential winners.

In this context, the shaken energy companies in particular should have more lucrative prospects again thanks to the influence of the lobby. For this I have chosen RWE $RWE (-0,87 %) for this.

Here are the reasons:

• In the wake of the shaken economic situation, particularly due to high energy prices (especially grid fees), there should probably be relief for large-scale industry in order to avoid further migration.
• The energy transition should no longer be seen as primarily necessary. It is therefore logical to conclude that the coal phase-out should be called into question once again in order to temporarily secure jobs and avoid overburdening lignite regions and the federal budget for restructuring programs.
• Furthermore, a potential government is currently showing little ambition for a possible return to nuclear energy, as a result of which coal and gas energy sources will logically continue to be of essential importance for the business location, which is likely to be in the interests of the lobby.
• In addition to this, RWE is showing particular ambition in the restructuring of the business area, which can therefore be seen from the fact that the operating margin is growing massively as renewable energy sources increase.
• The expansion into markets outside Germany and the EU is aggressive, which should allow them to benefit massively from various national subsidies.

In general, the prospects on the energy market for suppliers/producers are likely to improve again in the future as the Russia-Ukraine conflict eases, which in turn could make cheap raw material imports from Russia a reality again.

State shareholdings for potential loss-making transactions by corporations are also deeply rooted in the CV of the Christian Democrats, which is why the loss potential is likely to be very much in line with expectations.

Rising share prices with a target of €40-45/share and rising dividends are a pretty safe bet, in my personal opinion. (Tranche 1/3)

Analyst updates, 14.11. 👇🏼

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- JEFFERIES raises the price target for TESLA from USD 195 to USD 300. Hold. $TSLA (+0,05 %)

- WARBURG RESEARCH raises the price target for INIT from EUR 49.50 to EUR 53. Buy $INIT

- WARBURG RESEARCH raises the price target for DEUTSCHE BANK from EUR 21.10 to EUR 21.30. Buy. $DBK (+0,74 %)

- DEUTSCHE BANK RESEARCH raises the price target for AUTO1 from EUR 11 to EUR 12. Buy. $AG1 (+5,89 %)

- DEUTSCHE BANK RESEARCH raises the price target for SIEMENS ENERGY from EUR 43 to EUR 52. Buy. $ENR (+3,25 %)

- BERENBERG raises the price target for SCOUT24 from EUR 83 to EUR 110. Buy. $G24 (-0,06 %)

- GOLDMAN raises the target price for RIVIAN from USD 10 to USD 12. Neutral. $RIVN (+0,52 %)

- GOLDMAN raises the price target for MOLLER-MAERSK from DKK 12000 to DKK 12300. Neutral. $MAERSK B (-3,42 %)

- UBS raises the price target for CISCO from USD 55 to USD 62. Neutral. $CSCO (+0,82 %)

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- WARBURG RESEARCH downgrades PORSCHE SE from Buy to Hold and lowers price target from EUR 60 to EUR 36. $PAH3 (-0,76 %)

- WARBURG RESEARCH lowers the price target for EXASOL from EUR 6.30 to EUR 6. Buy. $EXL (-5,76 %)

- WARBURG RESEARCH lowers the price target for BRENNTAG from EUR 75 to EUR 69. Buy. $BNR (-2,63 %)

- WARBURG RESEARCH lowers the price target for INFINEON from EUR 43 to EUR 39. Buy. $IFX (+0,2 %)

- DEUTSCHE BANK RESEARCH lowers the price target for VERBIO from EUR 20 to EUR 17. Hold. $VBK (-3,77 %)

- DEUTSCHE BANK RESEARCH lowers the price target for JENOPTIK from EUR 45 to EUR 39. Buy. $JEN (+0 %)

- DEUTSCHE BANK RESEARCH lowers the price target for ELRINGKLINGER from EUR 6 to EUR 4.50. Hold. $ZIL2 (+0,19 %)

- DEUTSCHE BANK RESEARCH lowers the price target for BAYER from EUR 29 to EUR 23. Hold. $BAYN (-0,14 %)

- HAUCK AUFHÄUSER IB lowers the target price for SAF-HOLLAND from EUR 30 to EUR 28. Buy. $SFQ (-0,23 %)

- KEPLER CHEUVREUX lowers the target price for RWE from EUR 40 to EUR 36. Buy. $RWE (-0,87 %)

- METZLER lowers the price target for JUNGHEINRICH from EUR 42 to EUR 38. Buy. $JUN3 (+1,85 %)

- BARCLAYS lowers the target price for RTL from EUR 33 to EUR 26.50. Equal-Weight. $RTLL (-0,72 %)

- BERENBERG downgrades VESTAS from Buy to Hold and lowers target price from DKK 180 to DKK 120. $VWS (-1,6 %)

Report on the political and economic situation in Germany

After prolonged tensions and disagreements over the economic policy course, particularly with regard to the debt brake and investmentsChancellor Olaf Scholz effectively ended the traffic light coalition on November 6, 2024 with the dismissal of Finance Minister Christian Lindner (FDP) ended. The FDP then withdrew from the government and left the previous coalition with the Greens and the SPD broke up. Scholz sharply criticized Lindner's financial policy and accused him of using one-sided austerity policy the urgently needed modernization and promotion of growth in Germany.

In order to clarify the situation and "secure" the confidence of the Bundestag Scholz held a vote of confidence for January 15, 2025 has been announced. Should he lose this, the path for new elections would already be open end of March 2025 would be free. The CDU/CSU however, are calling for a quicker vote and are banking on new elections as early as January. Until the new elections, Scholz would form a minority government with the Greens lead.

The upcoming new elections could lead to a clear change of direction in Germany. Currently, the CDU/CSU dominate the opinion polls with around 32%. Voters who are disappointed with the previous traffic light coalition could now switch to a more conservative, more business-friendly program program. It is assumed that the election campaign topics will primarily focus on economic policy issues. At a time when Germany is struggling with weak economic growth, investment laziness and infrastructural challenges issues surrounding the debt brakefinancing public investment and ways to revive the economy could play a central role.

The political instability could short-term put pressure on the DAX $DAX under pressure in the short term. The index recently reached 19,275 points, a record high. Especially the sectors automotive industry ($VOW3 (-1,43 %) | $MBG (-0,53 %) | $BMW (-1,54 %) ), the energy sector ($RWE (-0,87 %) | $EOAN (+0,26 %) ) and infrastructure companies could be affected by increased volatility due to their dependence on government increased volatility but this would also be limited.

At the heart of the crisis is the question of whether the debt brake can be loosened to allow urgently needed investments in infrastructure, education and digitalization to be financed. The possibility of a new government pursuing a looser fiscal policy could have a positive effect on the German economy and remove barriers to investment. reduce barriers to investment reduce barriers to investment.

A clear economic policy signal after the new elections could boost the confidence of investors and the long-term growth prospects of Germany. Election campaign topics such as structural reforms, improvement the competitiveness and investments in a sustainable infrastructure could lead Germany into a phase of sustainable growth.

Unfortunately, the political crisis comes at a time of geopolitical change, particularly with Donald Trump's return to the White House. Germany's role on the international stage, especially in transatlantic transatlantic relations and in trade issuescould be influenced by this realignment. The possibility of punitive tariffs or changes in US policy could economic policy decisions and investment decisions German companies even more difficult.

Hi, what do you think of the RWE share at the moment? It has dropped a few notches in the last few days for no reason, but the outlook is still good! (My opinion)

$RWE (-0,87 %)

Hello everyone,

I am currently trying to optimize my portfolio and possibly also to compromise.

Perhaps you have any suggestions or ideas as to what can be improved

I'm currently saving around €1000 a month in my ETFs and another €600 in equities ( $RWE (-0,87 %) I have newly taken up and $KCO (-1,11 %) no longer saved)

I currently have the following in my savings plan

$ANDR (+0,44 %)

I think Andritz is well positioned for the future, especially for the electrification of all possible processes and also in the H2 area, plus a solid dividend of currently €2.5 per share.

$SBMO (+2,78 %)

As an operator and builder of drilling rigs, they will still have a good market in the future

$KO (+1,89 %)

One of my favorite stocks. A secure market environment with an established brand. They have also been regularly increasing their dividend for around 70 years

$RWE (-0,87 %)

The share has suffered massively recently and has a lot of catch-up potential. In addition, there are investments in renewable energies (mainly in the USA) and a secure business model.

$2020 (-2,37 %)

A rather unknown brand that includes FILA. Here too, I think that the South-East Asian market in particular will become more interesting in the future

$SHEL (+1,41 %)

My last energy company in the savings plan. Of the oil companies, Shell has promising strategies for the future and a very positive development

$AIL

High dividend, moderate share price performance

Hello everyone,

I've been more of a silent reader so far.

I have been looking for an investment in the energy sector for some time and have had my eye on RWE $RWE (-0,87 %) for some time, as I think the share price is quite attractive at the moment and the forecast is positive.

Do you have any alternatives or positions in this sector in your portfolio?

Does anyone know why $RWE (-0,87 %) going down so much today?

RWE ✌️ a little higher. Share is strongly undervalued in my opinion. Buy & Hold. $RWE (-0,87 %)

Topic: Warrant - general question pricing

I am currently familiarizing myself with warrants and am watching the OS HD2B7V on $RWE (-0,87 %)

The underlying has risen by around 1.3% since 09:00 today.

The OS has risen from €0.057 to €0.071 since 08:00. From 09:00 to 09:05 it lost 0.027€ to 0.044€.

How can this fall in the OS come about even though the underlying is rising?