Sopra Steria: Oddo raises target price

(CercleFinance.com) - Oddo maintains its "outperform" rating on Sopra Steria's share price, having increased its target price for them from 188 euros to 195 euros (current price: 160 euros, +2%).


The broker anticipates organic growth of around 11% in Q2, above the consensus of +8%.

At this stage analysts say that they do not see any reasons why the current trend does not continue into the second half of the year, pointing out that the risk of new budget cuts at Airbus has not materialised.

Furthermore, while Airbus seems to want to reduce its subcontracting costs, a priori this should be through concentrating deals with a more limited number of large suppliers, which benefits Sopra Steria (second provider in IT & Engineering Services at Airbus after Capgemini/Altran), the broker says.


Copyright (c) 2021 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.