UBS raises Zalando to 'Buy' with target up to 40 euros + Interest rate prospects move Wall Street + US inflation data give Bitcoin a boost + Drägerwerk earns more than expected operationally - sales disappoint

UBS raises Zalando $ZAL (-1,25%)to 'Buy' with target up to 40 euros

• The major Swiss bank UBS has upgraded Zalando from "Neutral" to "Buy" and raised its price target from 28 to 40 euros.
• Analyst Yashraj Rajani is significantly more optimistic than the market consensus in his buy recommendation published on Thursday.
• His forecast for the operating result (EBIT) for 2025 is 8 percent higher, even if he expects the online retailer's outlook to be conservative again.
• Zalando is probably in an "upgrade cycle" and is likely to gradually set itself ever higher targets.
• Rajani sees the takeover of About You as an enormous opportunity for value creation.

Leading index rises significantly again

• Investors on Wall Street also reacted positively to the inflation figures, especially in the particularly interest-sensitive technology sector.
• The Nasdaq 100 broke above its 50-day line and is now starting to tackle its consolidation trend from the record in mid-December.
• The core rate of inflation (excluding energy and food), which is particularly important for the Fed's monetary policy, surprisingly fell slightly at the end of 2024.
• This alleviated concerns that the Fed could halt its interest rate cut in 2025 or perhaps even have to raise the key interest rate in the future.

Drägerwerk $DRW3 (+0%)earns more than expected in operating terms - sales disappoint

• The medical and safety technology group Drägerwerk did not increase net sales as much as expected last year.
• However, the operating result was better than expected.
• Sales stagnated at 3.37 billion euros, as the SDax-listed company surprisingly announced on Wednesday evening in Lübeck.
• Adjusted for the effects of the strong euro, turnover would have risen by 0.6 percent.
• The Group had recently forecast currency-adjusted growth of between one and three percent.
• The margin based on earnings before interest and taxes (EBIT) would have amounted to 5.8 percent (2023: 4.9 percent), slightly higher than recently forecast.
• However, Dräger also benefited from positive one-off effects.
• In 2025, net sales are expected to increase by between one and five percent excluding the impact of currency translation and the operating margin is expected to be between 3.5 and 6.5 percent.
• Following the announcement of the figures on Tradegate, the Dräger share price recently rose by 1.5 percent compared to the Xetra close.
• The share thus tested the interim high from mid-October.

Thursday: Stock market dates, economic data, quarterly figures

• Quarterly figures / company dates USA / Asia
• 07:30 TSMC annual results
• 11:55 Unitedhealth quarterly figures
• 12:30 PNC Financial Services | First Horizon quarterly figures
• 12:45 Bank of America quarterly figures
• 13:30 Morgan Stanley quarterly figures
• Untimed: U.S. Bancorp Q4 figures

• Quarterly figures / Company dates Europe
• 07:00 Fraport traffic figures December | Richemont Trading Update 3Q
• 17:45 Vinci Q4 sales
• Unspecified time: Aker ASA Q4 salesz

• Economic data

08:00 DE: Consumer prices (final) December PROGNOSE: +0.4% yoy/+2.6% yoy Preliminary: +0.4% yoy/+2.6% yoy Previous: -0.2% yoy/+2.2% yoy HICP PROGNOSE: +0.7% yoy/+2.8% yoy Preliminary: +0.7% yoy/+2.8% yoy Previous: -0.7% yoy/+2.4% yoy

08:00 UK: GDP month November PROGNOSE: +0.2% yoy/+1.1% yoy previously: -0.1% yoy/+1.3% yoy Three-month rate PROGNOSE: -0.1% yoy/ n.a. previously: +0.1% yoy/+1.1% yoy

08:00 UK: Trade Balance November PROGNOSE: -17.9 bn GBP previous: -19.0 bn GBP | Industrial Production November PROGNOSE: 0.0% yoy/-1.5% yoy previous: -0.6% yoy/-0.7% yoy

14:30 US: Retail Sales December FORECAST: +0.5% yoy previous: +0.7% yoy Retail sales ex motor vehicles FORECAST: +0.4% yoy previous: +0.2% yoy

14:30 US: Initial jobless claims (week) PROGNOSE: 210,000 previous: 201,000 | Philadelphia Fed Index January PROGNOSE: -6.0 previous: -16.4

14:30 US: Import and Export Prices December Import Prices FORECAST: -0.1% yoy previous: +0.1% yoy

16:00 US: Inventories November PROGNOSE: +0.1% yoy previous: +0.1% yoy