DHL Group
DHL: XETR (DEU)
Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
---|---|---|---|
€99.00 | Pvrsc | Spjhrfp |
First-Half 2022 Pricing Backdrop Solid, but DHL Faces Normalizing B2C Volumes
Business Strategy and Outlook
Deutsche Post DHL is the leading postal operator in Europe, among the top three international express package carriers, and the world's largest air and ocean forwarder. Its legacy German postal operations (roughly 12% of total revenue) face secular demand declines and are heavily regulated. However, we expect growth in the DHL segments and growth in the German (and international-domestic) parcel delivery operations to continue to offset declines in traditional mail-related activity over the long run, and despite near-term B2C package normalization.