Faurecia: Invest Securities raises target price
(CercleFinance.com) - Invest Securities says that the group's Q3 results exceed its expectations.
The analyst has raised its estimate of 2020/22 EPS estimates to 0.64 euro/3.99 euros/6.87 euros from -0.07 euro/3.43 euros/6.87 euro previously, while confirming 2022 EPS in line with a maintained 2022 guidance of FY 2022 sales of 18.5 billion euros and an EBITA margin of 8%.
Invest Securities has raised its target price for the share to 61 euros, vs. 54 euros previously, under the dual effect of the increase in EPS and the reduction in the applicable discount rate (-0.2pt to 7%).
This publication supports the rebound in share's price, which, at the end of September, suffered from the risk linked to the future spin-off, which we believe is overestimated. The broker therefore reiterates its buy rating, with the stock remaining in its best pick "IS Selection," the broker adds.
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