Thales: Oddo BHF says discount hard to justify
(CercleFinance.com) - Oddo BHF reiterates its 'outperform' rating on Thales shares, with a E193 TP, pointing out that they are trading on a rolling 12-month P/E that now offers a 12% discount to European defensive peers.
The broker sees this as a discount that is difficult to justify for a stock with an average FCF yield of 7.4% over 2024-28 and growth driven by Cyber activities, whose valuation offers a strong premium over defense.
Newsflow should be driven by dynamic order intake, transparency in Cyber and space (contracts and potential consolidation), the analyst in charge of the high-tech group adds.
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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 broker sees this as a discount that is difficult to justify for a stock with an average FCF yield of 7.4% over 2024-28 and growth driven by Cyber activities, whose valuation offers a strong premium over defense.
Newsflow should be driven by dynamic order intake, transparency in Cyber and space (contracts and potential consolidation), the analyst in charge of the high-tech group adds.
Copyright (c) 2025 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.