HeidelbergCement: Oddo BHF still a buyer
(CercleFinance.com) - Following the publication of HeidelbergCement's final annual results, Oddo BHF reiterates its "buy" rating on the stock building materials manufacturer, with its target price of 85 euros representing upside potential of over 30%.
The broker notes that, at its current price, the share is trading at a 2019 EV/EBITDA multiple of seven times, which represents a discount relative to its historical average and free cash-flow yield that is particularly attractive at over 8% in 2019.
The profound upheavals of the Chinese cement sector could still change the sector landscape, the analyst adds, for whom HeidelbergCement seems to be the big winner of these changes.
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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 broker notes that, at its current price, the share is trading at a 2019 EV/EBITDA multiple of seven times, which represents a discount relative to its historical average and free cash-flow yield that is particularly attractive at over 8% in 2019.
The profound upheavals of the Chinese cement sector could still change the sector landscape, the analyst adds, for whom HeidelbergCement seems to be the big winner of these changes.
Copyright (c) 2019 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.