Bureau Veritas: Barclays maintains 'overweight' rating
(CercleFinance.com) - Barclays reinstates its "overweight" recommendation on the Bureau Veritas share, along with its target price of 24 euros, expecting that the group's H1 results due on 25 July will support its investment case on the share.
The broker expects organic growth for the French inspection and certification services group to reach 3.3% in H1 (2.7% in Q2), with its margin improving by around 20 basis points.
"Delivery on these drivers (improvement in quality of results and cash flow, stricter discipline in terms of acquisitions, fall in net debt) should see the valuation gap between BVI and SGS/ITRK narrow," the broker says.
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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 expects organic growth for the French inspection and certification services group to reach 3.3% in H1 (2.7% in Q2), with its margin improving by around 20 basis points.
"Delivery on these drivers (improvement in quality of results and cash flow, stricter discipline in terms of acquisitions, fall in net debt) should see the valuation gap between BVI and SGS/ITRK narrow," the broker says.
Copyright (c) 2019 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.