Continental stock gains as company raises 2026 outlook

Continental raised its 2026 outlook on Wednesday, November 4, after reporting a strong third quarter in its tire business. The company's press release said adjusted EBIT increased to EUR 514 million from EUR 482 million a year earlier, while the adjusted EBIT margin reached 14.9 percent from 13.9 percent.

Continental stock traded at EUR 70.71 on Lang & Schwarz at 18:07 CET on Wednesday, November 4. That was 2.87 percent above the EUR 68.74 quote in the latest relevant own report from 08:51 the same day, a separate comparison from the Xetra session.

Guidance rises on tire performance

For continuing operations, Continental now expects an adjusted EBIT margin of around 13.4 to 14.0 percent in 2026, compared with 12.0 to 13.5 percent previously. The company also raised its adjusted free cash flow outlook to around EUR 1.0 billion to EUR 1.3 billion from EUR 0.7 billion to EUR 1.1 billion.

Continental narrowed its sales outlook for continuing operations to around EUR 13.5 billion to EUR 13.9 billion, against a previous range of EUR 13.2 billion to EUR 14.2 billion. Third-quarter consolidated sales for continuing operations were EUR 3.5 billion, down from EUR 3.9 billion in the prior-year period, while adjusted free cash flow fell to EUR 31 million from EUR 99 million.

Raw materials remain a risk

CEO Christian Kötz said the tire business delivered another very good quarter. CFO Roland Welzbacher warned that higher raw-material prices are increasingly affecting earnings and will weigh more heavily in the fourth quarter.

Continental said strong earnings in Europe, higher sales of ultra-high-performance tires, lower tariff impacts and commercial measures supported the quarter. Weak automotive markets weighed on the original-equipment business.

For discontinued ContiTech operations, Continental lowered its 2026 adjusted EBIT margin outlook to around 6.5 to 7.5 percent from 7.0 to 8.5 percent and narrowed its sales range to around EUR 4.2 billion to EUR 4.4 billion.

For investors, the improved continuing-operations guidance strengthens the earnings outlook, but raw-material inflation and weak vehicle production remain key risks. The real-time quote of Continental stock shows the latest trading level.

The Continental press release provides the company's full third-quarter figures and updated guidance.

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