TechnipFMC: Jefferies welcomes split
(CercleFinance.com) - Broker Jefferies confirms its buying rating on the TechnipFMC share after the oil services group last night announced a project to split most of its engineering and construction (also known as E&C) activities, i.
e. mainly Onshore/Offshore.
The broker has respective target prices of 28 euros for the Paris-listed share and 33 dollars for that listed in New York.
Analysts point out that this project, which should be finalised in the first half of 2020, has been proposed at a time when the group's E&C division has a record order book. The split is considered "relatively simple", with management believing that the synergies between the various activities are weak.
Jefferies also notes that the activities that will remain within the group's scope, i.e. the Subsea and Surface Technologies divisions, have an "indisputable market lead".
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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.
e. mainly Onshore/Offshore.
The broker has respective target prices of 28 euros for the Paris-listed share and 33 dollars for that listed in New York.
Analysts point out that this project, which should be finalised in the first half of 2020, has been proposed at a time when the group's E&C division has a record order book. The split is considered "relatively simple", with management believing that the synergies between the various activities are weak.
Jefferies also notes that the activities that will remain within the group's scope, i.e. the Subsea and Surface Technologies divisions, have an "indisputable market lead".
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.