Danone: Stifel still a buyer
(CercleFinance.com) - Stifel reinstates its "buy" recommendation on the Danone share, along with its target price of 68 euros, stressing that the French agri-food group has "come under increasing levels of pressure from investors".
According to analysts, "It now seems that management are more keen to illustrate to investors that they are able to improve growth and profitability through possible portfolio adjustments, improving corporate governance, and achieve targets which are set".
While "FY-21 guidance remains vague", the broker forecasts a margin of 14.1%, "based on an accelerated organic growth in all three divisions, positive mix effects, and positive operating leverage".
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