PARIS (Reuters) – Dassault Aviation fell sharply on Monday on the Paris Stock Exchange, after the aircraft manufacturer’s announcement that its aircraft deliveries in 2023 will be lower than its objective, which led Deutsche Bank to lower its recommendation on the title.
On the Paris Stock Exchange, around 10:22 GMT, Dassault Aviation shares fell 5.06% to 189.7 euros, compared to a decline of 0.26% for the CAC 40 index at the same time. She is on track to have her worst day since July 2023.
The group reported on Friday, after the markets closed, the delivery of 13 Rafale and 26 Falcon in 2023, while it had planned 15 and 35 aircraft respectively.
Deutsche Bank on Monday lowered its recommendation for Dassault Aviation to “hold” from “buy,” expressing particular concern about lower-than-expected orders and deliveries for the Falcon.
According to Christophe Menard, an analyst at Deutsche Bank, the rebound expected at the end of the year did not materialize, as supply chain problems continued to reduce production.
“Our operating profit estimates are lowered by 30% for 2023, by 8% for 2024, by 10% for 2025 and by 7% for 2026,” he said in a note.
(Written by Augustin Turpin, with contributions from Lina Golovnya, edited by Blandine Hénault)
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