Plastic Omnium: Invest Securities upgrades stock
(CercleFinance.com) - Invest Securities has upgraded its rating on the Plastic Omnium stock from "neutral" to "buy" and has raised its target price from 40 euros to 48 euros, meaning upside potential of +29%, welcoming the automotive equipment supplier increasing its stake in HBPO's capital.
This announcement has a significant accretive impact on our 2019 estimates, while the disposal of environmental businesses, which has already been announced, will strengthen Plastic Omnium's "pure-play" nature and profitability, the analyst believes.
Assuming the sale of the environmental division on 1 January 2019 and, at the same date, the acquisition of 33.33% of HPBO, the broker has raised its estimates by 26% in 2019, followed by 25% in 2020.
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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.
This announcement has a significant accretive impact on our 2019 estimates, while the disposal of environmental businesses, which has already been announced, will strengthen Plastic Omnium's "pure-play" nature and profitability, the analyst believes.
Assuming the sale of the environmental division on 1 January 2019 and, at the same date, the acquisition of 33.33% of HPBO, the broker has raised its estimates by 26% in 2019, followed by 25% in 2020.
Copyright (c) 2018 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.