Mersen: Oddo BHF remains positive, but cuts TP

(CercleFinance.com) - Oddo BHF confirms its 'outperform' rating on Mersen shares, while reducing its target price from E50 to E46, taking into account WACC increasing from 7.
5% to 8%, and incorporating more conservative growth assumptions for 2024 and 2025.

The broker now expects organic growth of just 4% for the current financial year and 3% for the following one, and reduces its OIR estimates to E141m and E152m respectively.

However, the analyst points out that the messages conveyed in its H1 results were fairly promising, enabling the broker to validate the targets of the 2027 plan, and that the stock's valuation remains moderate, at 5.2x 20225 EBITDA and 8.3x 2025 EBIT.


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