Imerys: share up - Oddo BHF optimistic about quartz

(CercleFinance.com) - Imerys was by far the biggest riser on the SBF 120 early Wednesday morning, thanks to a positive note from analysts at Oddo BHF, who raised their target price for the stock.


Shares in the group specializing in minerals for industry were up 9.5%, while the SBF index was trailing in the distance, up just 0.6%.

In a research note published in the morning, Oddo analysts highlight the "bright" future ahead for Quartz Corporation, the joint venture Imerys created in 2011 with Norsk Mineral in the mining and processing of high-purity quartz.

This North Carolina-based mine is home to the world's highest-quality natural quartz for the semiconductor industry, high-temperature lamps, communications, precision optics, microelectronics and solar energy, analysts observe.

The broker says it expects sales to double between 2023 and 2028, with an operating margin (Ebitda) expected to rise from 55% in 2023 to 62% in 2026.

The valuation of Quartz Corporation should wake up the sleeping beauty, and for good this time, Oddo says, which has raised its target price from E55 to E67 to reflect the valuation of Quartz, while reiterating its 'outperform' opinion on the stock.


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