Legrand: Oddo expects growth to accelerate.
(CercleFinance.com) - Oddo has confirmed its Buy rating on the Legrand stock, which "is based on accelerated growth in 2017 and 2018 - both in organic terms and including acquisitions.
The broker's target price of 69 euros does not include future acquisitions.
Oddo says that it could increase its target price to 78 euros if it integrates 3.5% of annual growth per acquisition (over 10 years) into its DCF estimate.
"Following the recent acquisitions made by the group, we have revised our estimates. For the period 2017 and 2018, we expect cumulative revenue growth, excluding currency effects, of 22%." The broker expects organic growth of 2.9% and 3.8% respectively in 2017 and 2018, it adds.
Copyright (c) 2017 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 target price of 69 euros does not include future acquisitions.
Oddo says that it could increase its target price to 78 euros if it integrates 3.5% of annual growth per acquisition (over 10 years) into its DCF estimate.
"Following the recent acquisitions made by the group, we have revised our estimates. For the period 2017 and 2018, we expect cumulative revenue growth, excluding currency effects, of 22%." The broker expects organic growth of 2.9% and 3.8% respectively in 2017 and 2018, it adds.
Copyright (c) 2017 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.