Campari: Oddo BHF reduces target price
(CercleFinance.com) - Oddo BHF maintains its 'underperform' rating on Campari shares, while reducing its target price for them from E8 to E7.
7, judging that reductions in the consensus, which is still too optimistic, are likely to continue over the coming months.
Although the Italian spirits house's H1 results were in line with expectations, the analyst points to an adjustment to its gross margin guidance for 2024, and lowers his annual EPS forecast for the group by 5%.
In addition, Oddo BHF considers Campari's valuation level to be still demanding at 23x P/E NTM, while it believes that by approaching the diversified profile of Pernod Ricard and Diageo, it should also approach the latter at 20x.
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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.
The information and analyses published by Cercle Finance are intended solely as a decision-making aid for investors. Cercle Finance cannot be held responsible, directly or indirectly, for the use of information and analyses by readers. Uninformed investors are advised to consult a professional advisor before investing. This information does not constitute an invitation to sell or a solicitation to buy.
7, judging that reductions in the consensus, which is still too optimistic, are likely to continue over the coming months.
Although the Italian spirits house's H1 results were in line with expectations, the analyst points to an adjustment to its gross margin guidance for 2024, and lowers his annual EPS forecast for the group by 5%.
In addition, Oddo BHF considers Campari's valuation level to be still demanding at 23x P/E NTM, while it believes that by approaching the diversified profile of Pernod Ricard and Diageo, it should also approach the latter at 20x.
Copyright (c) 2024 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.
The information and analyses published by Cercle Finance are intended solely as a decision-making aid for investors. Cercle Finance cannot be held responsible, directly or indirectly, for the use of information and analyses by readers. Uninformed investors are advised to consult a professional advisor before investing. This information does not constitute an invitation to sell or a solicitation to buy.