According to DT's updated market outlook for 2024, revenues for its industrial business will decline to €50 billion-€52 billion (versus an earlier estimate of €52 billion-€54 billion), and its adjusted return on sales will decrease by 100 basis points to 8.0%-9.5% (versus 9.0%-10.5%). As a result, we revised our base case for DT, now based on expected S&P Global Ratings-adjusted EBITDA margin reaching 9.8% in 2024 as opposed to our previous forecast of 11.0%. That said, there is adequate headroom at the current rating on DT. In addition, we note that lead times have stabilized. As such, we project revenues in 2025 could remain broadly in line with 2024 levels at about €51 billion, while cost headwinds will continue to
