Quadient: Oddo BHF cuts target after H1 results
(CercleFinance.com) - Oddo BHF has reaffirmed its 'outperform' opinion on Quadient, with a target price lowered from E33 to E30, following H1 results slightly below its expectations, leading it to lower its ROC forecast for the group by 4%.
Valuation is still extremely modest at 8.1x 2024 underlying OP and 7.4x 2025 underlying OP, reflecting a 30% discount to historical ratios. An SOTP (sum-of-the-parts) approach reflects this undervaluation even more, it believes.
Oddo BHF also points to the strengthened presence of VESA, Daniel Kretinsky's holding company, in Casino's capital, and to the announcement of a share buyback program over the next 18 months to improve shareholder return.
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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 decision-making aids 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.
Valuation is still extremely modest at 8.1x 2024 underlying OP and 7.4x 2025 underlying OP, reflecting a 30% discount to historical ratios. An SOTP (sum-of-the-parts) approach reflects this undervaluation even more, it believes.
Oddo BHF also points to the strengthened presence of VESA, Daniel Kretinsky's holding company, in Casino's capital, and to the announcement of a share buyback program over the next 18 months to improve shareholder return.
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 decision-making aids 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.