Deutsche Bank has upgraded Renishaw's (LSE:RSW) price target to 4,960p, from 4,750p, while keeping to a Hold stance.
Analyst Richard Paige, highlighted in a note, the he had raised forecasts for Jun FY26E EPS by 9% and FY27E EPS by 7%, following last week's short, positive, and unscheduled company update that showed Q2 OCC sales up 20% year‑on‑year and strong demand from semiconductor and defence customers and now models H2 OCC sales growth of +19% YoY.
Paige noted that management likely remains conservative around the mid‑point of its wide full‑year PBT range given Renishaw's high operational gearing, visibility, Q4 weighting and geopolitical risks, and he has moved his own PBT expectations to the upper end of revised guidance.
The analyst, meanwhile, highlighted the next focal point as Renishaw's Q3 trading update, due on 6 May, and points out that previous mid‑year guidance upgrades since FY14 tended to be followed by full‑year outturns at the upper end or above upgraded ranges.
