Carrefour: crumbles 5%, with analysts critical.
(CercleFinance.com) - The Carrefour share is tumbling 5% this afternoon after the group announced its sales figures.
Bryan Garnier, although still a buyer of the stock, with a target price of 29 euros, laments that for Carrefour, "we are currently in an uncomfortable zone of uncertainty."
"We understand that the price investments in hypermarkets in France will weigh on the group's margin. Furthermore, it will have to bear the costs of integrating the Eroski hypermarkets in Spain and, to a lesser extent, Billa stores in Romania," Oddo said.
Oddo expects a 33% fall in H1 EBIT in France (to 210 million euros against 250 million euros previously estimated) and a consolidated EBIT that is down 2.3% at 690 million euros in the first half of 2017 (against 725 million euros expected previously).
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Bryan Garnier, although still a buyer of the stock, with a target price of 29 euros, laments that for Carrefour, "we are currently in an uncomfortable zone of uncertainty."
"We understand that the price investments in hypermarkets in France will weigh on the group's margin. Furthermore, it will have to bear the costs of integrating the Eroski hypermarkets in Spain and, to a lesser extent, Billa stores in Romania," Oddo said.
Oddo expects a 33% fall in H1 EBIT in France (to 210 million euros against 250 million euros previously estimated) and a consolidated EBIT that is down 2.3% at 690 million euros in the first half of 2017 (against 725 million euros expected previously).
Copyright (c) 2017 CercleFinance.com. All rights reserved.