LANXESS’ planned exit from the Envalior JV has been delayed after Advent declined to acquire the company’s 40.9% stake in 2026, pushing the deleveraging catalyst further out. However, the contractual framework remains intact, with additional tender windows in 2027 and a structural backstop from 2028 that ensures eventual monetization. While near-term operating conditions remain challenging amid Chinese overcapacity, weak construction and automotive demand, and elevated European energy costs, the balance sheet remains secure with ample liquidity and no covenant pressure. Looking ahead, we see potential for sentiment and earnings to gradually improve from mid-2026 as infrastructure stimulus and anti-dumping measures begin to stabilize pricing. Following the recent sharp share-price correction, we believe much of the uncertainty is already reflected in the valuation, leaving LANXESS an attractive cyclical recovery play with meaningful deleveraging upside. We therefore reiterate our BUY rating with a revised price target of EUR 23.00 (old: EUR 27.00). The full update can be downloaded under https://research-hub.de/companies/lanxess-ag

Ernst Russ’ FY25 preliminary results confirm strong profitability and cash generation, broadly in line with guidance and forecasts. Revenue reached about EUR 158m and EBIT around EUR 96m, implying a resilient 61% EBIT margin, supported partly by gains from vessel disposals. Year-end liquidity of roughly EUR 114m underscores a solid balance sheet and capacity for further fleet investment. Operational performance remained strong, with 97.7% fleet utilisation and higher average daily charter rates. A EUR 449m charter backlog and 26-month average contract duration provide earnings visibility into FY26–27. Strategic fleet expansion and diversification, combined with long-term charters, strengthen stability, while geopolitical shipping disruptions could support rates. Overall, the company remains well positioned, and the BUY rating with a EUR 12.50 price target is maintained. The full update can be downloaded under https://research-hub.de/companies/ernst-russ-ag

Redcare’s FY25 results confirmed preliminary figures and marked a reset in the investment narrative. While Rx remains the structural growth driver, FY26 guidance of 13-15% revenue growth implies a clear moderation versus FY25. Management expects Germany Rx sales above EUR 670m and non-Rx growth of 8-10%, reflecting a structurally more competitive OTC/BPC environment, while the behavioral adoption of e-prescriptions appears slower than previously anticipated. The company also introduced a more gradual profitability path, targeting ~5% EBITDA margins in the mid-term and >8% only longer term. Reflecting the flatter earnings trajectory and lower long-term returns, we lower our DCF-based target price to EUR 95.00 (from EUR 120.00). We maintain our BUY rating, however, restoring investor confidence is likely to take time. The full update can be downloaded under https://research-hub.de/companies/redcare-pharmacy-nv

Formycon reported preliminary FY2025 results with revenue of around EUR 45m, below prior guidance, reflecting weaker-than-expected commercial traction of the ustekinumab biosimilar Otulfi (FYB202). EBITDA of roughly EUR -12m was supported by milestone income and development reimbursements. The key issue remains the limited US uptake of FYB202, as Fresenius Kabi has limited success to secure listings in preferred formularies with major pharmacy benefit managers. This has led us to reduce our revenue assumptions for the coming years. In addition, Formycon indicated a potential non-cash impairment on FYB202 in the FY2025 financial statements. Following these adjustments, we lower our price target to EUR 40.00 from EUR 48.00. Our rating remains BUY. The full update can be downloaded under https://research-hub.de/companies/formycon-ag

Bayer delivered a mixed but broadly stable set of results, with solid operational momentum in Crop Science and Pharmaceuticals offset by profitability pressure and continued litigation-related headwinds. Strong growth from key launch products such as Nubeqa and Kerendia helped counter patent expiry pressure in Pharma, while Crop Science remained resilient despite a softer crop protection environment. The company continues to execute on its operational turnaround through organizational simplification and cost savings, while simultaneously advancing a multi-pronged strategy to contain glyphosate litigation. Looking ahead, 2026 is expected to be a transition year as substantial litigation payouts weigh on cash flow and temporarily increase leverage, although underlying operating performance should remain stable. Importantly, progress on settlements and the pending Supreme Court review provide improving visibility on the legal overhang, supporting the investment case beyond 2026. We therefore maintain our BUY rating with a slightly revised price target of EUR 52.00. The full update can be downloaded under https://research-hub.de/companies/bayer-ag

Traton’s Q4 2025 was soft, reflecting broad market weakness and margin pressures from operating deleverage, tariffs, and FX headwinds. Results slightly beat consensus, but the global truck market continues to face macro and geopolitical challenges. Management issued soft guidance for FY26, signaling another challenging year, with limited growth momentum as fragile European gains from catch-up effects are offset by weakness in the US and Brazil. Given ongoing challenges, the stock trading only ~15% below its all-time high, and no meaningful operational improvement currently in sight, we prefer to wait for a clearer sign of market recovery, as share price and performance are unlikely to diverge forever. A potential stake sale by parent Volkswagen could add further pressure on the share. We therefore reiterate our SELL rating with an unchanged price target of EUR 23.00. The full update can be downloaded under https://research-hub.de/companies/traton-se

Since military operations began on 28 February, the Iran war has caused crude oil prices to surge. The WTI forward curve indicates a temporary war premium, showing higher prices mainly for contracts expiring within the next six months. Deutsche Rohstoff should benefit from this environment as it has only hedged around 30% of its production for FY26, partly through put options, which will allow it to participate in the oil price rally. We have therefore increased our estimates for the FY26 and believe that the company may accelerate its planned drilling program. In addition, tungsten prices have surged due to rising defense demand linked to the conflict. Consequently, Deutsche Rohstoff’s stake in Almonty Industries (ALI1:GR), which will soon begin production at the Sangdong mine, has also increased in value considerably. Having upgraded our model, we arrive at a new price target of EUR 97.00 (previously EUR 88.00) and are confirming our BUY recommendation. The full update can be downloaded under https://research-hub.de/companies/deutsche-rohstoff-ag

FY25 closed largely as expected. Q4 revenue slightly beat consensus while adj. EBIT met expectations, with margins remaining strong at 20.4%. The order backlog rose to a record EUR 6.7bn, supporting strong visibility. Lower Q4 order intake mainly reflects timing shifts into 2026 rather than weaker demand. While defense remains the structural growth driver, we view market expectations for order intake rising towards more than EUR 3.4bn in 2030 as ambitious given platform mix risks, tender cyclicality and the gradual shift toward wheeled land systems where RENK has less exposure. With FY25 results and FY26 guidance broadly in line, the focus now shifts to tender momentum, export approvals and platform mix. Following the recent share price strength after the Iran escalation, we downgrade the stock to SELL (from HOLD) with an unchanged price target of EUR 53.00. The full update can be downloaded under https://research-hub.de/companies/renk-group-ag

Symrise delivered a resilient FY25 performance, with modest organic growth but stronger-than-expected margins driven by efficiency gains and favourable mix. The ONE SYM transformation continues to support profitability and cash generation, while strategic portfolio actions are gradually repositioning the business toward higher-value segments. Although the FY26 outlook reflects a cautious demand environment and fading pricing tailwinds, management expects growth to be primarily volume-driven and improve through the year. We maintain our BUY rating on the stock, supported by Symrise’s resilient business model, structural margin improvements and disciplined capital allocation. However, we cut our price target to 95.00 EUR from 100.00, to reflect the softer near-term outlook. The full update can be downloaded under https://research-hub.de/companies/symrise-ag

Brenntag’s FY25 prelims confirmed a weak finish to the year, with Q4 operating EBITA falling sharply yoy and full-year operating EBITA coming in below the lower end of guidance as muted industrial activity and persistent pricing pressure weighed on volumes. While the group’s gross profit held up relatively well, highlighting the resilience of its distribution model, earnings per share suffered due to non-cash impairments and other special items totaling EUR 248m in Q4. Cash generation remained a clear positive, with solid free cash flow and disciplined working capital management supporting shareholder returns despite weaker profitability. Looking ahead, management guides to a subdued FY26 environment with limited visibility, leading us to lower our price target to EUR 60.00 (from EUR 70.00), while we reiterate our BUY rating, implying ~8x 2026E EV/ adj. EBITDA. The full update can be downloaded under https://research-hub.de/companies/brenntag-se