Dassault Systèmes: Oddo cuts target price
(CercleFinance.com) - In its comments on Dassault Systèmes, Oddo points out lacklustre growth in Q3 2019 (+2% growth for licenses at constant exchange rates), albeit partially offset by strong recurrent growth.
The broker also mentions the sound control of margins (30.3% up +140 bp) and FCF (up 24% over 9 months).
The group's guidelines for Q4 take into account this volatile environment and the rise in subscriptions, which penalizes the momentum of licenses, Oddo adds.
Oddo has cut its EPS estimate by 2% for 2019, followed by 6% for 2020 and has reduced its target price to 164 euros (against 170 euros), although it maintains its buy rating on the share.
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