Post NL: Berenberg initiates coverage with 'sell' rating
(CercleFinance.com) - Berenberg initiated its coverage of the Dutch postal company Post NL with a "sell" rating and a target price of 2.
35 euros, saying that the sector could be a dangerous place for investors.
With letter volumes in decline, and margins and returns on capital falling, the European postal space can be a treacherous place to be," Berenberg wrote in a note dedicated to European transport and logistics.
"The businesses are labour-intensive, with demanding customers on one side and significant regulation on the other," it added.
"We would argue that the best companies in the industry are ones that are least reliant on core postal operations," Berenberg said.
Copyright (c) 2018 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.
35 euros, saying that the sector could be a dangerous place for investors.
With letter volumes in decline, and margins and returns on capital falling, the European postal space can be a treacherous place to be," Berenberg wrote in a note dedicated to European transport and logistics.
"The businesses are labour-intensive, with demanding customers on one side and significant regulation on the other," it added.
"We would argue that the best companies in the industry are ones that are least reliant on core postal operations," Berenberg said.
Copyright (c) 2018 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.