Accor: Oddo still a buyer
(CercleFinance.com) - The hotels group has confirmed that the gradual recovery in its business is being driven by domestic (French) clients (about 70% of its total clients on average) and leisure customers.
Oddo says that in France (about 20% of EBIT), Paris and its outskirts (about 50% of EBIT in France) remain in decline, penalised by the lack of international tourists, while coastal cities are showing sound trends.
However, it says that visibility remains very limited, with 57% of bookings currently being made just one week before stays (vs. 45% in 2019 in Europe).
Oddo confirms its buy rating on the share, maintaining a target price of 31.0 euros (34% upside potential). It says that although the recovery is slow, it is still a buyer, due fundamentals that it deems to be solid and that will remain broadly unchanged as at the end of the crisis.
Copyright (c) 2020 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.