Alstom: Oddo BHF raises target price
(CercleFinance.com) - Oddo BHF maintains its 'outperform' rating on Alstom shares, raising its target price from E24 to E26.
The analyst cites supply chain problems, which worsened in H1, but which remain manageable.
Delays are attributed to poor anticipation on behalf of suppliers and maturity problems with a number of technologies (batteries, for example).
The analyst says that the group is one of the few in its universe of stocks to be able to write a 'self-help' story over the next 2-3 years.
This recovery story does not seem to us to be integrated into the current share price, which is trading on an EV/EBIT 12m forward multiple of around 9x, compared with over 13x before the deal with Bombardier, the broker says.
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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.
The analyst cites supply chain problems, which worsened in H1, but which remain manageable.
Delays are attributed to poor anticipation on behalf of suppliers and maturity problems with a number of technologies (batteries, for example).
The analyst says that the group is one of the few in its universe of stocks to be able to write a 'self-help' story over the next 2-3 years.
This recovery story does not seem to us to be integrated into the current share price, which is trading on an EV/EBIT 12m forward multiple of around 9x, compared with over 13x before the deal with Bombardier, the broker says.
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.