Legrand: UBS still a seller
(CercleFinance.com) - UBS believes that short-term cyclical headwinds persist.
The analyst confirms his Sell recommendation on the stock, with an unchanged price target of E82.
In the near term, we consider organic growth expectations for 2025 cons. to be stretched, while in the medium term, we increasingly question the viability of the 3%-5% acquired growth target, UBS says.
For 2024, Legrand now anticipates an adjusted operating margin of 20% to 20.4% after acquisitions (instead of 20% to 20.8% before acquisitions), for organic and acquired sales still expected to grow slightly (low single digit).
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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 confirms his Sell recommendation on the stock, with an unchanged price target of E82.
In the near term, we consider organic growth expectations for 2025 cons. to be stretched, while in the medium term, we increasingly question the viability of the 3%-5% acquired growth target, UBS says.
For 2024, Legrand now anticipates an adjusted operating margin of 20% to 20.4% after acquisitions (instead of 20% to 20.8% before acquisitions), for organic and acquired sales still expected to grow slightly (low single digit).
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.