DAVY VIEW

Stora Enso’s Q1 2024 operational EBIT of €156m represents a 75% Vara consensus beat, principally due to Packaging Materials’ return to profit (improving demand/pricing). Additionally, Stora Enso is raising its cost saving target from €80m to €120m. Despite the conservatively unchanged 2024E outlook, expect 10%+ upgrades to Stora Enso €544m 2024E operational EBIT consensus (source: Vara) and a positive relief rally ahead of the 09:00 (10:00 CET) earnings call.