Baader Helvea Cuts Hornbach Price Target, Estimates on 'Disappointing' Results; Add Rating Maintained

12:45 AM EST, 01/05/2026 (MT Newswires) -- Baader Helvea Equity Research reduced its financial assumptions and price target for Hornbach (HBH.F) following the home improvement company's "disappointing" earnings so far in fiscal 2026. In a Jan. 2 note, the price target was cut to 96 euros from 118 euros, while the add rating was confirmed. The research firm noted Hornbach's "proven" track record, brand perception, and "attractive" valuation, among others. "For FYs 2025/26E and 2026/27E, we leave our sales projections nearly unchanged but cut our adj. EBIT projections by -8.6% and -8.2%, respectively, and EPS by around -14%," analysts said. "Therefore, we expect reported EBIT 25/26E to remain nearly flat yoy (+0.5% yoy) and adj. EBIT 25/26E to slightly decline by -2.1% yoy, roughly in-line with group's guidance of "on prev. year's level." Our earnings expectations remain below consensus expectations." In the nine months ended Nov. 30, 2025, adjusted EBIT edged down 0.2% year over year to 299.5 million euros, missing the research firm's estimate and Hornbach's initial expectations. The company said weaker-than-expected sales growth on a like-for-like basis failed to fully offset higher expenses, leading to its lower adjusted EBIT for the period.