Metro: Oddo downgrades stock

(CercleFinance.com) - Oddo BHF has downgraded its rating on the share of the German retailer Metro from "neutral" to "reduce," slashing its corresponding target price from 14 euros to 8 euros, in a sector report devoted to major European food retailers.


The analyst says that the food retail sector is strategic in the face of the COVID-19 crisis, which is regaining a defensive status, that he believes is justified. As a result, he trims his 2020 earnings expectations by just 3.2% for the sector.

Adding that there is no financial problem in the sector and that valuations remain attractive, the broker maintains its sector preferences, with Ahold Delhaize remaining its top pick.


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