EDF: Oddo BHF raises target price
(CercleFinance.com) - Oddo BHF maintains its "buy" rating on the EDF share, having increased its corresponding target price from 13 euros to 14 euros, seeing a return to normal economic activity as a positive catalyst for the energy group's share.
At this stage, given the price levels on Forward contracts, which have remained relatively stable, earnings growth - even assuming no reforms - seems guaranteed for the financial years 2021/22, the analyst says.
Beyond the only catalyst likely to facilitate satisfactory profitability of EDF's assets will remain the implementation of the Hercules project, Oddo continues, which bases its target price on the assumption that the reform will be implemented in the near future, with a probability of 80%.
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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.
At this stage, given the price levels on Forward contracts, which have remained relatively stable, earnings growth - even assuming no reforms - seems guaranteed for the financial years 2021/22, the analyst says.
Beyond the only catalyst likely to facilitate satisfactory profitability of EDF's assets will remain the implementation of the Hercules project, Oddo continues, which bases its target price on the assumption that the reform will be implemented in the near future, with a probability of 80%.
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.