Continental stock slips 1.64% as upgraded outlook meets raw-material risk

Continental raised its 2026 outlook on Wednesday, November 4, after the tire business delivered a strong third quarter. The upgrade supports the earnings case, but higher raw-material prices and continued volume pressure make the final quarter more demanding.

Continental stock traded at 74.32 euros on Lang & Schwarz at 17:01 CET on Thursday, November 12, 1.64 percent below the latest own report's 75.56 euros at 11:04 CET. On the Xetra comparison basis, the share was 0.05 percent below the Xetra close of Wednesday, November 11, at 74.36 euros. The market data was supplied by the licensed Lang & Schwarz quote and the CON.DE Xetra quote.

Tire earnings lift the annual outlook

According to the Continental investor relations page, adjusted EBIT rose in the third quarter to 514 million euros from 482 million euros a year earlier. The adjusted EBIT margin increased to 14.9 percent from 13.9 percent, although continuing-operations sales fell to 3.5 billion euros from 3.9 billion euros.

Continental now expects a 2026 adjusted EBIT margin of 13.4 percent to 14.0 percent for continuing operations, compared with 12.0 percent to 13.5 percent previously. The adjusted free-cash-flow outlook increased to 1.0 billion euros to 1.3 billion euros from 0.7 billion euros to 1.1 billion euros. The sales range was narrowed to 13.5 billion euros to 13.9 billion euros.

Raw materials temper the upgrade

Management said ultra-high-performance tires, favorable exchange rates, lower tariff effects and commercial measures supported the tire division. Europe delivered particularly strong earnings, while weak automotive markets affected original-equipment demand and replacement markets weighed on North and South America.

CFO Roland Welzbacher warned that higher raw-material prices will have a larger impact in the fourth quarter. Continental also expects volumes to remain under pressure, leaving execution, product mix and cash generation central to delivery of the improved annual targets.

German equities remain tied to the broader DAX market environment.

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