Deutsche Lufthansa Stock: Bond Issue Amid Market Skepticism

Deutsche Lufthansa is taking proactive steps in the capital market by issuing a hybrid bond worth 500 million euros, featuring a 5.25% annual interest rate over a 30-year term with an early redemption option after six years. This financial maneuver comes at a challenging time for the airline, as its stock has experienced significant declines from its 52-week high of 8.04 euros. The market's response has been notably cautious, with the stock currently trading at 5.68 euros, representing a decline of 2.84% in recent trading sessions.

Analyst Outlook Deteriorates

Market analysts have adopted an increasingly pessimistic stance on Deutsche Lufthansa's prospects, revising their target price downward to 5.00 euros. Concerns are mounting regarding the upcoming quarterly results expected in early March, with experts warning about potential disappointments in the company's outlook. The consensus estimates for the airline's operating results in 2025 are considered at risk, while dividend expectations have been adjusted downward, with projections now indicating a reduced payout compared to the previous year.