Airbus: Credit Suisse a buyer ahead of results

(CercleFinance.com) - Credit Suisse this morning confirmed its buy rating ("outperform") on the Airbus share ahead of the group's annual results that it will publish on 14 February.


Set at 120 euros, broker's target price suggests upside potential of just over 25%.

Analysts expect the group to report sound commercial performance, which at the end of 2018 delivered 800 civilian aircraft, in line with its guidance. The broker has therefore raised its forecast for adjusted operating profit by 50 million euros to 5.19 billion euros, which is 4% higher than the five billion euros expected by the consensus. "The Airbus Commercial division has benefited from many deliveries and strong performance in the A320 and A350 programs," the broker points out in its report. The operating margin should therefore "be very good" at levels reaching historic peaks, as in Q3, despite charges that are expected to dampen that of Q4.

In addition, the group's cash generation should not disappoint, because of the catch-up of deliveries at the end of the year.


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.