{"id":112686,"date":"2026-08-28T05:36:20","date_gmt":"2026-08-28T05:36:20","guid":{"rendered":"https:\/\/www.europesays.com\/britain\/112686\/"},"modified":"2026-08-28T05:36:20","modified_gmt":"2026-08-28T05:36:20","slug":"rolls-royce-target-price-lifted-50-by-citi-as-long-term-forecasts-rise","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/britain\/112686\/","title":{"rendered":"Rolls-Royce target price lifted 50% by Citi as long-term forecasts rise"},"content":{"rendered":"<p>    <a href=\"https:\/\/s.yimg.com\/lo\/mysterio\/api\/5589802cbc7612cc84f274bff662a89b23a03d02901faec16bfdd91c2401b0d8\/lightyear_networkapi\/resizefit_w960%3Bquality_80%3Bformat_webp\/https%3A%2F%2Fmedia.zenfs.com%2Fen%2Fproactive_uk_164%2Fa20fbe610769b607d47a7d3abab79946.jpg\" target=\"_blank\" rel=\"noopener noreferrer nofollow\"><img loading=\"lazy\" decoding=\"async\" src=\"data:image\/gif;base64,R0lGODlhAQABAIAAAAAAAP\/\/\/ywAAAAAAQABAAACAUwAOw==\" alt=\"Rolls-Royce target price lifted 50% by Citi as long-term forecasts rise\" height=\"540\" width=\"960\" class=\"yf-1f8hkhu loader\"\/><\/a> Rolls-Royce target price lifted 50% by Citi as long-term forecasts rise Proactive uses images sourced from Shutterstock           <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\"><a href=\"https:\/\/finance.yahoo.com\/quote\/RR..l\" data-ylk=\"slk:Rolls-Royce%20Holdings%20PLC%20(LSE%3ARR.);elm:context_link;itc:0;sec:content-canvas;source:content-canvas%20default\" data-yga=\"{&quot;yLinkText&quot;:&quot;Rolls-Royce Holdings PLC (LSE:RR.)&quot;,&quot;yLinkElement&quot;:&quot;context_link&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yTrafficOrigin&quot;:&quot;content-canvas default&quot;}\" target=\"_blank\" rel=\"nofollow noopener\">Rolls-Royce Holdings PLC (LSE:RR.)<\/a> has had its target price lifted to 1,647p from 1,101p by Citi after the broker materially upgraded its long-term profit and cash flow forecasts following strong first-half results.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Citi increased its longer-term estimates by between 30% and 40%, reflecting improved expectations across all of Rolls-Royce&#8217;s divisions, with Power Systems providing the biggest contribution to the revisions.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Despite the substantial increase in the target price, Citi maintained its &#8216;neutral&#8217; rating, saying recent share price appreciation had left insufficient upside to justify an upgrade to &#8216;buy&#8217;.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">The broker said its forecast changes were driven by stronger assumptions across the group, with Power Systems standing out as the most significant source of additional value.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Citi also raised its forecasts for Civil Aerospace, although it was more cautious on Defence, arguing that the record margins delivered in the first half were unlikely to be sustainable over the longer term.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">Its sensitivity analysis now identifies Power Systems as the most influential driver of Rolls-Royce&#8217;s valuation, overtaking Civil Aerospace.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">The shift highlights the growing importance of the division to Citi&#8217;s investment case, with stronger long-term earnings and cash generation assumptions underpinning the revised valuation.  <\/p>\n<p class=\"text text-block paragraph text-left neo-font-paragraph-xl-reg  yf-18d6y07\" style=\"text-decoration: none; font-style: normal; text-transform: none; text-align: inherit; font-variant-numeric: normal;\">The broker&#8217;s 1,647p target represents an increase of almost 50% from its previous 1,101p objective, but Citi said the rerating already seen in Rolls-Royce shares limits the remaining upside at current levels.  <\/p>\n","protected":false},"excerpt":{"rendered":"Rolls-Royce target price lifted 50% by Citi as long-term forecasts rise Proactive uses images sourced from Shutterstock Rolls-Royce&hellip;\n","protected":false},"author":2,"featured_media":112687,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_share_on_mastodon":"0"},"categories":[20731],"tags":[13099,21129,21222,1238,21966],"class_list":["post-112686","post","type-post","status-publish","format-standard","has-post-thumbnail","category-rolls-royce","tag-citi","tag-civil-aerospace","tag-power-systems","tag-rolls-royce","tag-rolls-royce-holdings-plc"],"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@UnitedKingdom\/117171518335196112","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/posts\/112686","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/comments?post=112686"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/posts\/112686\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/media\/112687"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/media?parent=112686"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/categories?post=112686"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/tags?post=112686"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}