HENSOLDT: Solid Profitability but Softer Q4, Lower Dividend and Tempered 2026 Guidance Support Hold Rating

In a report released today, Chloe Lemarie from Jefferies maintained a Hold rating on HENSOLDT AG, with a price target of €90.00.

Chloe Lemarie has given his Hold rating due to a combination of factors, notably that HENSOLDT’s fourth-quarter results were slightly softer than expected in most operating metrics, even though free cash flow and order intake were solid. The company still delivered a full-year EBITDA margin of 18.4%, but this solid profitability was offset by a proposed dividend of €0.55, which falls around 10% short of market expectations, largely because financing and tax costs were higher than previously assumed.

At the same time, management’s refined 2026 guidance now places the midpoint for EBITDA and free cash flow about 2% below consensus forecasts, signaling only modest upside from current levels. This tempered outlook, together with mixed quarterly performance and a lower-than-expected shareholder payout, supports a balanced risk‑reward profile that in Lemarie’s view justifies maintaining a neutral, or Hold, stance on the stock at this stage.

Lemarie covers the Industrials sector, focusing on stocks such as Airbus Group SE, MTU Aero Engines, and Rheinmetall. According to TipRanks, Lemarie has an average return of 36.8% and an 89.05% success rate on recommended stocks.