Aena: UBS maintains buy rating

(CercleFinance.com) - This morning UBS is maintaining its buy rating on the share of Spanish airport operator Aena, as well as its 12-month target price of 170 euros, which suggests upside potential of 8%.


"We believe the market is still mispricing the non-regulated business" of the company (i.e. mainly airport boutiques), UBS says, which expects a 4% increase in expenditure per passenger at Aena's airports in 2019. This would be a record for the sector in Europe.

However, these businesses, which "represents circa two thirds of our enterprise fair value, trades today on 14.9x 2019e EV/EBITDA vs. our DCF driven fair value of 17x 2019e EV/EBITDA trades today on 14.9x 2019e EV/EBITDA vs. our DCF driven fair value of 17x 2019e EV/EBITDA,” its report says.

UBS also admits that growth at Aena's boutiques is expected to be lower in 2019 than in 2018.


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