Capgemini: Oddo BHF raises target price
(CercleFinance.com) - On Friday mornng an Oddo BHF analyst said that he is raising his target price for the Capgemini stock from 109 euros to 114 euros.
The broker's new target price is therefore close to the share's current prices; Oddo BHF maintains a neutral rating on the share, particularly as it deems it to have 5% downside potential.
The broker says that upside relative to consensus currently appears to be very limited at this point (considering that it believes that it is too early to adopt a very optimistic scenario regarding the pandemic for H2) and that the share is currently dealing at 12.1x EV/EBIT (fwd 12 months), at the top of the historical range (9x-12.5x), even as the growth outlook remains historically weak due to COVID-19.
The share is up over 1.5% at 120 euros in the first hour of trading on Friday.
Copyright (c) 2020 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.
The broker's new target price is therefore close to the share's current prices; Oddo BHF maintains a neutral rating on the share, particularly as it deems it to have 5% downside potential.
The broker says that upside relative to consensus currently appears to be very limited at this point (considering that it believes that it is too early to adopt a very optimistic scenario regarding the pandemic for H2) and that the share is currently dealing at 12.1x EV/EBIT (fwd 12 months), at the top of the historical range (9x-12.5x), even as the growth outlook remains historically weak due to COVID-19.
The share is up over 1.5% at 120 euros in the first hour of trading on Friday.
Copyright (c) 2020 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.