Eurazeo: Berenberg still a buyer, but cuts TP
(CercleFinance.com) - On Friday, Berenberg reiterated its Buy recommendation on Eurazeo shares, while lowering its target price for them from E100 to E95.
The broker says that it expects the investment company's business to pick up in H2, and beyond.
While noting the progress already made by the Group in asset management during the first six months of the year, the analyst believes that the negative variation in its balance sheet portfolio reflects a "still difficult" market environment.
Nevertheless, the professional highlights an upbeat underlying dynamic, with an acceleration in asset rotations and solid premiums recorded on disposals.
In its view, the negative cycle dogging the sector is about to end, heralding a resumption of value creation for the French company against a backdrop of successful disposals.
At the same time, Berenberg expects the group to attract even more funds from large private and international investors.
At the same time, Eurazeo's dividend and share buybacks represent a particularly attractive yield of 7% in the eyes of investors, it points out.
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.
The broker says that it expects the investment company's business to pick up in H2, and beyond.
While noting the progress already made by the Group in asset management during the first six months of the year, the analyst believes that the negative variation in its balance sheet portfolio reflects a "still difficult" market environment.
Nevertheless, the professional highlights an upbeat underlying dynamic, with an acceleration in asset rotations and solid premiums recorded on disposals.
In its view, the negative cycle dogging the sector is about to end, heralding a resumption of value creation for the French company against a backdrop of successful disposals.
At the same time, Berenberg expects the group to attract even more funds from large private and international investors.
At the same time, Eurazeo's dividend and share buybacks represent a particularly attractive yield of 7% in the eyes of investors, it points out.
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.