Mersen: Oddo raises estimates
(CercleFinance.com) - The group reported organic growth of +8.
4%, including +16.6% for the Advanced Materials division in Q1 2019.
Oddo points out that, amongst other things, Mersen has benefited from a strong momentum in the Chemicals, Process Industries and Semiconductor markets.
Oddo hence confirms its buy rating on the share, along with its target price of 35 euros, with the broker also raising its earnings estimates for the group.
We are increasing our earnings sequence, henceforth expecting the top of the guidance range, with organic growth of 4.5% (vs. +2% previously, with the top of the range of +5%, a currency effect of +1.9% and a +1.7% effect from changes in the group's consolidation scope), with an underlying operating margin of 10.7% (10.6% previously and 10.4% in 2018, vs. a guidance of 10.5%/10.7%), up 30 bp, Oddo says in its daily equity review.
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.
4%, including +16.6% for the Advanced Materials division in Q1 2019.
Oddo points out that, amongst other things, Mersen has benefited from a strong momentum in the Chemicals, Process Industries and Semiconductor markets.
Oddo hence confirms its buy rating on the share, along with its target price of 35 euros, with the broker also raising its earnings estimates for the group.
We are increasing our earnings sequence, henceforth expecting the top of the guidance range, with organic growth of 4.5% (vs. +2% previously, with the top of the range of +5%, a currency effect of +1.9% and a +1.7% effect from changes in the group's consolidation scope), with an underlying operating margin of 10.7% (10.6% previously and 10.4% in 2018, vs. a guidance of 10.5%/10.7%), up 30 bp, Oddo says in its daily equity review.
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.