Eramet: Stifel initiates coverage as a buyer
(CercleFinance.com) - Stifel has begun to monitor Eramet shares with a buy rating and target price of E140.
"Poorly managed for years, the group is now benefiting from strong growth momentum," says the broker, who believes that "Eramet is trading on bottom-of-cycle multiples. "
However, the broker believes that these multiples do not take into account "the group's new intrinsic profitability and growth. If, as is likely over a 12-month horizon, the low point of the cycle is reached and the outlook improved, the re-rating of the stock could be impressive".
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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.
"Poorly managed for years, the group is now benefiting from strong growth momentum," says the broker, who believes that "Eramet is trading on bottom-of-cycle multiples. "
However, the broker believes that these multiples do not take into account "the group's new intrinsic profitability and growth. If, as is likely over a 12-month horizon, the low point of the cycle is reached and the outlook improved, the re-rating of the stock could be impressive".
Copyright (c) 2023 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.