Proactive Investors - Automotive and auto-adjacent shares took a hit on Tuesday after copping a knock-on effect from a Porsche AG (ETR:P911_p) profit warning.
Porsche warned that supply shortages of certain aluminium alloys due to production facility floodings will cause a multibillion-euro hit to full-year revenues and narrower profit margins.
Porsche shares slid 4% as a result, with other stocks in the segment all being bid lower.
Dowlais Group PLC (LON:DWL), the FTSE 250-listed metallurgic components supplier to the automotive industry, fell nearly 2%, while British luxury carmaker Aston Martin dipped 1.3%.
Strip Tinning Holdings PLC (LON:STGS), the small-cap supplier of specialist connectors to the automotive sector, fell nearly 6%.
On top of today’s Profit warning, Porsche’s valuation has taken a hit after abandoning its 80% electric vehicle sales target for 2030.