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Jul 5 2018, 06:45 IST/BST
We have upgraded our Buzzi Unicem (BZU) earnings forecasts to reflect improved price momentum in Europe and easing foreign exchange headwinds. We remain ‘Outperform’ (price target: €25) given the group’s attractive US cement exposure, price recovery in Europe and consolidation in Italy. Debt levels are falling steadily, which provides further optionality for shareholders. Should US tariffs on cement be imposed, they would be near-term positive for BZU in our view and would likely result in higher selling prices.