Hochtief Stock Rockets Past €500 as Jefferies Flags Data Centre Boom

Jefferies' price target hike on Hochtief, driven by its US data center subsidiary Turner, sends shares soaring 13% past €500, with Q1 results next in focus.

A single analyst report sent Hochtief shares soaring more than 13% on Tuesday, propelling the construction giant past the €500 mark for the first time and into uncharted territory. The catalyst came from Jefferies, which turned the spotlight on a division often overlooked by the market.

Analyst Graham Hunt lifted his price target on the stock from €387 to €480, while keeping a “Hold” rating. The upgrade centres on Turner, Hochtief’s US subsidiary, which is riding a wave of demand for data centre capacity. Hunt noted that current interest in such infrastructure projects far outstrips available supply, promising a meaningful earnings uplift for the group.

Investors wasted no time piling in. By Tuesday’s close, the stock had hit €515.50 — already eclipsing Jefferies’ freshly raised target. The rally marks a stunning run: the shares have surged more than 160% over the past twelve months and are up roughly 52% since the start of the year.

Technical Strength and New Contracts Underpin Momentum

The move above €500 comes after a brief wobble at the start of May, when the stock slipped below its 20-day moving average on the first trading day of the month. The dip proved short-lived. By Monday, the shares had recovered to €454.20, a level that still sits 42% above the 200-day average of €320.60.

Chart watchers are now eyeing the ten-year high of €467.00, set in mid-April. A sustained breakout above that level, they argue, could fuel the next leg of a rally that has been building since mid-2024.

Operationally, the pipeline keeps filling. In late April, subsidiary Thiess secured a two-year mining services contract with Yilgarn Iron. A consortium led by Hochtief also won the next construction phase of Prague’s metro line D. Such order inflows provide visibility on cash flows, underpinning the group’s ambitious profit targets.

Q1 Results Loom as the Next Hurdle

Hochtief is due to publish first-quarter results in May, offering the market its first look at whether operational performance can keep pace with the share price. The group is targeting an operating profit of between €950 million and €1.025 billion for 2026, representing growth of 20% to 30% from last year.

Last year, net operating profit reached €789 million on revenue of more than €38 billion. The question now is whether the first-quarter numbers will validate the valuation. With the relative strength index at 66.5, the stock is not yet overbought but is edging closer to that territory. The next few weeks will tell whether the rally has further to run — or whether it has already priced in the good news.