Randstad: Oddo cuts price target
(CercleFinance.com) - Oddo confirms its "neutral" view on Randstad, whilst reducing its target price from 52 to 46 euros in a note on the Dutch temporary staffing services supplier and its Swiss peer Adecco.
It underlines that in the wake of near stabilisation in Europe in Q1, and this rhythm continuing on into March, temporary staffing markets in Europe are hitting a slowdown. Oddo also reduces its estimated EPS for Randstad by 4% in 2019 and 7% in 2020.
The analyst does however say that it is comforted by Randstad's solid generation of free cash-flow thanks to the dual positive impact of the CICE (competitiveness and employment tax credit), which serves to provide assurance as regards the maintenance of the special dividend this year (7% return in 2019/20).
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.
It underlines that in the wake of near stabilisation in Europe in Q1, and this rhythm continuing on into March, temporary staffing markets in Europe are hitting a slowdown. Oddo also reduces its estimated EPS for Randstad by 4% in 2019 and 7% in 2020.
The analyst does however say that it is comforted by Randstad's solid generation of free cash-flow thanks to the dual positive impact of the CICE (competitiveness and employment tax credit), which serves to provide assurance as regards the maintenance of the special dividend this year (7% return in 2019/20).
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.