Danone: Oddo maintains rating after board decision
(CercleFinance.com) - Oddo believes that last night's decision by Danone's board of directors to keep Emmanuel Faber as Chairman and CEO until a new CEO can be found is unsurprising, although it could disappoint investors who were expecting a major upheaval.
Regarding Emmanuel Faber's proposal, the dissociation of the roles of Chairman and CEO will take effect when a new CEO takes office, the analyst says.
The choice of stability appears to be appropriate in the current context. After a complicated year in 2020 and four months of uncertainty surrounding the future of top management, the group needs stability, analysts add.
Oddo confirms its Underperform rating on the stock, with a target price of 50 euros (13% downside potential).
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