Canal+: Deutsche Bank initiates coverage as buyer

(CercleFinance.com) - On Friday, Deutsche Bank initiated coverage of Canal+ shares with a buy rating and a target price of 240 pence, suggesting over 30% upside potential.


In a note published this morning, the analyst praised the transformation of the broadcaster from a French pay-TV channel to an international media group now present in some 50 countries.

With a subscriber base of around 27 million, the company generated sales of E6.45bn last year, with an operating margin of 5%, the broker points out.

We believe that its strategy of focusing on premium content and expanding its footprint puts it in a good position to grow sales by an average of 3% over the period 2025-2027, it adds.

Deutsche points out that a survey carried out by its teams on the French market showed that the group benefited from a solid renewal rate and consistently stable audiences.

With average annual EPS growth expected to reach 11% by 2027, the stock is also attractively valued compared with its peers, it argues.

Finally, the group's solid balance sheet structure should make it easier to carry out M&A operations, he continues, bearing in mind that the proposed takeover of MultiChoice, which should be completed this year, could already bring the number of its subscribers to over 40 million accounts.


Copyright (c) 2025 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.
The information and analyses published by Cercle Finance are intended solely as a decision-making aid for investors. Cercle Finance cannot be held responsible, directly or indirectly, for the use of information and analyses by readers. Uninformed investors are advised to consult a professional advisor before investing. This information does not constitute an invitation to sell or a solicitation to buy.