Capgemini: Oddo BHF reduces its target price

(CercleFinance.com) - Oddo BHF maintains its 'neutral' rating on Capgemini shares, with a price target lowered from 201 to 192 euros.


Capgemini announced yesterday before trading that Q3 2024 sales were down -1.6% cc, -60 bp below expectations, with activity penalized in particular by North America, which surprised negatively with -3.9% in Q3, after -3.7% in Q2.

Furthermore, 'management has confirmed that momentum in Q4 is likely to remain weak, in line with Q3', stresses the broker.

Against this backdrop, the Group has revised its 2024 guidance downwards, with cc growth of between -2% and -2.4% (vs. -0.5% and -1.5% previously), i.e. between -2.4% and -2.8% org. over the year.

The Group still hopes to return to positive growth in 2025, without specifying whether this is an ambition for the year as a whole", adds the analyst, who has cut its 2024-25 EPS by 5% and believes that "yesterday's -6% fall in the share price" seems "fair enough".

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