Ahold Delhaize: Oddo BHF remains fundamentally a buyer
(CercleFinance.com) - Oddo BHF remains fundamentally a buyer of the Ahold Delhaize share, having nudged its corresponding target price up from 25 euros to 26 euros, the day after the Dutch food retailer reported results that exceeded the consensus in terms of operating profit.
In a complicated sector (weak growth, digital revolution), we are confident about the group's ability to manage its margins given its positions as a local leader, while generating free cash flow, the analyst said.
Oddo BHF believes that although the share of the Belgo-Dutch group has returned to its level (24 euros) prior to the warning of Stop & Shop, it remains attractive, trading at a discount of 6% in terms of its 2020 P/E relative to peers.
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