Telecom Italia: Berenberg upgrades to 'hold'

(CercleFinance.com) - Berenberg on Monday upgraded its rating on the Telecom Italia shares from "sell" to "hold," while raising its target price from 0.
33 euro to 0.38 euro.

In a note to clients, the German broker said consensus expectations for the Italian phone company have declined significantly over the past 18 months.

However, looking forward, the telecom operator's key indicators show signs of improvement, as several drags are set to ease in 2021 and Covid-19 headwinds should partly reverse, it added.

"As such, we believe the company can return to growth in Italy in 2021," Berenberg pointed out, struggling to justify a negative stance.

The Telecom Italia stock was down just 0.2% on Monday, slightly outperforming a 0.4% fall in Milan's blue-chip index, the FTSE MIB.

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