Michelin: Oddo raises target price, says best is yet to come
(CercleFinance.com) - Oddo maintains its "outperform" rating on Michelin shares, having increased its corresponding target price to 150 euros (from 140 euros).
The broker bases its stance on the group's CMD organised yesterday, which presented its targets for 2023, as well as the group's long-term strategy and outlook.
Oddo says that it sees financial targets (in line with the consensus) as a floor and believes that management convinced on levers (particularly internal) that should enable Michelin to achieve a record operating margin and FCF in the coming years.
The broker underlines that the group aims to step up its competitiveness plan to about 100 million euros net p.a. through to 2023 (vs. 50 million euros in the previous plan), including 80 million euros p.a. of productivity gains: it therefore believes that the best is yet to come.
Despite all, the share is currently failing to accelerate in Paris (-0.1% in the first hour of trading).
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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 bases its stance on the group's CMD organised yesterday, which presented its targets for 2023, as well as the group's long-term strategy and outlook.
Oddo says that it sees financial targets (in line with the consensus) as a floor and believes that management convinced on levers (particularly internal) that should enable Michelin to achieve a record operating margin and FCF in the coming years.
The broker underlines that the group aims to step up its competitiveness plan to about 100 million euros net p.a. through to 2023 (vs. 50 million euros in the previous plan), including 80 million euros p.a. of productivity gains: it therefore believes that the best is yet to come.
Despite all, the share is currently failing to accelerate in Paris (-0.1% in the first hour of trading).
Copyright (c) 2021 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.