DSV A/S was set to beat its record high in Copenhagen trading after Nordea Bank AB predicted the Nordic region’s biggest trucking company will extend gains as economic growth improves.
DSV hit a record yesterday and rose as much as 1 percent today. The stock gained 0.3 percent to 153.20 kroner at 10:49 a.m. local time, with trading volume at 21 percent of the three-month daily average.
“DSV set a new record yesterday,” Nordea said in a note to clients. “We expect the transportation company will set more new records in the upcoming period as Europe’s economy improves.”
The euro-area economy expanded by 0.3 percent in the second quarter, snapping six quarters of contraction. DSV, which has bought companies in Denmark, Norway and Columbia, plans to tap its cash flow to pursue additional acquisitions to boost sales growth. The Broendby, Denmark-based company in July reiterated its full-year forecast for gross profit of as much as 10.5 billion kroner ($1.9 billion).
Nordea increased its price target for DSV by 5 kroner, to 175 kroner, and repeated its buy recommendation.