Berenberg Keeps Michelin's Hold Rating, Price Target After Q3 Sales Results

09:02 AM EDT, 10/22/2026 (MT Newswires) -- Berenberg maintained its hold rating on Michelin (ML.PA) following the tire maker's sales results for the third quarter. The research firm said Thursday that the French company's third-quarter group revenue missed expectations by 0.9%, as volumes fell by 0.6%, against a consensus of 0.6% growth, driven by weaker broad-based original equipment sales and Tier 2 and 3 brand replacements. For the fourth quarter and full-year 2026, analysts noted management's "slightly negative" volume expectations, reflecting the global economic slowdown, weaker original equipment demand and continued pressure from import flows. Berenberg also updated its Michelin model following the recent quarterly results and amid lowered sales, EBIT, and EPS projections for 2026 to 2028. "We remain cautious on near-term earnings momentum given the softer demand and continued inflationary pressure in 2027, including raw materials, logistics and energy. While pricing discipline and restructuring should provide some mitigation, we see limited room for upside to current expectations," analysts added. The stock's price target of 30 euros was left unchanged.