Hochtief: Jefferies raises its recommendation

(CercleFinance.com) - Jefferies has upgraded its recommendation on Hochtief from 'hold' to 'buy', with a price target raised from €109 to €124, seeing it as 'one of the best cards in its deck to play the growing demand for global data center capacity'.


'We expect earnings growth to accelerate as Hochtief begins to benefit from greater exposure to high-tech infrastructure projects', explains the broker.

In his view, these projects 'offer an attractive mix of higher margins and lower risks, as rising barriers to entry play into the hands of incumbents' like Hochtief, for which he is raising his estimates from 3% to 11%.

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