Air France: Oddo BHF maintains buy rating
(CercleFinance.com) - The broker Oddo BHF has not downgraded its buy rating on the Air France-KLM share, saying that the entry of the Dutch state blurs the message, although is not disrupting the company's course.
It maintains its target price at 12.7 euros for the share, which suggests upside potential of around 15%.
For the purposes of asserting national interests, the Dutch state has increased its stake in the airline's capital to 14%, almost equal to that of the French state (14.3%). In a meeting with analysts organised by the company last night, Oddo BHF reports that if the company's CEO (Benjamin Smith) regrets the form (without consultation), he believes that this new shareholder only wants to show its commitment to the development of KLM and Schiphol airport and will not influence the strategy that is currently in place.
Benjamin Smith gives the impression of being able to move the ship and will be able to reduce some of the competitive disadvantages of Air France, analysts add, while KLM is currently more profitable than the Air France side of the group.
Air France-KLM will organise an investor day either at the end of spring or the start of autumn, the broker also mentions in its report.
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.
It maintains its target price at 12.7 euros for the share, which suggests upside potential of around 15%.
For the purposes of asserting national interests, the Dutch state has increased its stake in the airline's capital to 14%, almost equal to that of the French state (14.3%). In a meeting with analysts organised by the company last night, Oddo BHF reports that if the company's CEO (Benjamin Smith) regrets the form (without consultation), he believes that this new shareholder only wants to show its commitment to the development of KLM and Schiphol airport and will not influence the strategy that is currently in place.
Benjamin Smith gives the impression of being able to move the ship and will be able to reduce some of the competitive disadvantages of Air France, analysts add, while KLM is currently more profitable than the Air France side of the group.
Air France-KLM will organise an investor day either at the end of spring or the start of autumn, the broker also mentions in its report.
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.