Virbac: Jefferies sticks to 'hold,' ups target price

(CercleFinance.com) - While maintaining its "hold" rating on Virbac, Jefferies has increased its target price for the share from 112 euros to 146 euros after its "cash EPS" estimates were raised by 13%-23% over the period 2019-2022.


Virbac's target of achieving an EBITDA margin of 15% by 2022, as well as short-term improvements in its business in the US, are encouraging and justify the share price's jump of around 20% in the market, the broker says.

Jefferies Expects the Animal Health Group to achieve a 1.3% improvement in its margin in 2019, up from a target of a 1% increase. It also forecasts improvements in the group's RoCE, which it says justifies a higher multiple for the share.



Copyright (c) 2019 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.