|Bid||0.00 x 0|
|Ask||0.00 x 0|
|Day's range||90.50 - 92.70|
|52-week range||28.34 - 127.40|
|Beta (5Y monthly)||N/A|
|PE ratio (TTM)||N/A|
|Forward dividend & yield||N/A (N/A)|
|1y target est||N/A|
(Bloomberg) -- Want the lowdown on European markets? In your inbox before the open, every day. Sign up here.The meteoric stock rise of German battery maker Varta AG met with a major bump on Wednesday as Commerzbank removed its buy recommendation, citing a report by an anonymous short seller of Chinese competitors moving into its market.The stock, which almost quadrupled last year on speculation that Apple Inc. may be a big customer of the German company, fell as much as 24% in Frankfurt. The drop was the steepest since March 2011 and cut Varta’s market value to 3.8 billion euros ($4.2 billion). A large block of shares traded at a 13% discount to Tuesday’s closing price accelerated the decline.Lowering his rating to hold, Commerzbank analyst Stephan Klepp referred to a report by “an active short seller” that Chinese peers have made headway with several key Varta clients such as Samsung Electronics Co., GN Store Nord A/S’s Jabra, Sony Corp. and Samsung’s JBL unit.A spokesman for Varta said the company became aware at the end of December that two Chinese producers of coin batteries were infringing its patents and that it has taken legal action.While Klepp still sees the business “running from strength to strength,” he said the report caused him to evaluate “the current status of Varta’s sole supply proposition.”Chinese competition seems to have arisen because Varta was unable to satisfy the high market demand from earbud clients, who “have been afraid to lose market share with supply from Varta only,” the analyst wrote in a note.Varta told Commerzbank that it “neither lost traction with any of their clients nor lost any client” and the broker still expects the company to report a strong fourth quarter, Klepp wrote.In an article published Tuesday on the Seeking Alpha website, an author using the name “Black Mamba” said it had found four Chinese competitors making batteries for so-called Truly Wireless Stereo earphones, and that two Varta customers are using batteries from other vendors. Black Mamba said it has a short position in Varta and that it’s not receiving compensation for the article, other than from Seeking Alpha. The article requires a subscription to access.Black Mamba said in its Seeking Alpha profile that it has chosen to write anonymously. The short seller, which has 609 followers, has in the past published articles about its bearish bets on North American marijuana, chip and biotech stocks.(Updates to add Seeking Alpha article in eighth paragraph.)To contact the reporters on this story: Jan-Patrick Barnert in Frankfurt at email@example.com;Lisa Pham in London at firstname.lastname@example.orgTo contact the editors responsible for this story: Beth Mellor at email@example.com, Paul JarvisFor more articles like this, please visit us at bloomberg.com©2020 Bloomberg L.P.
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(Bloomberg) -- A Commerzbank AG analyst has gone to great lengths to prove that Apple Inc.’s latest AirPods Pro earbuds are powered by batteries made by German manufacturer Varta AG.Stephan Klepp visited his local Apple store and bought a pair of the $249 earphones, before dismantling them to find a Varta lithium-ion micro-battery inside, he wrote in a note.“Overall, our tear-down puts the speculation around Apple ultimately to rest,” Klepp said in his report, which included pictures of the dissected device and its power source.Varta and Apple declined to comment.Varta shares have risen to the highest since being re-listed in 2017 on speculation that Apple, the market leader for wireless earbud headphones, may be behind numerous capacity increases announced by the German manufacturer. To date, neither company has confirmed the relationship.Klepp has a buy recommendation on Varta, whose shares rose 1.8% in late Frankfurt trading, extending gains after soaring more than 7% in each of the previous two sessions.To contact the reporter on this story: Richard Weiss in Frankfurt at firstname.lastname@example.orgTo contact the editors responsible for this story: Daniel Schaefer at email@example.com, Paul JarvisFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.