Fnac Darty: Oddo downgrades 'buy' rating.
(CercleFinance.com) - In a report issued on Wednesday, Oddo has abandoned its "buy" rating on Fnac Darty.
However, the analyst monitoring the stock has nudged up his target price for the share from 91 euros to 93 euros.
The broker reacted to the announcement at the start of the week of a strategic plan called "Confidence+" which it deems to be "ambitious, but accessible," while pointing to speculation that seems to be less and less justified.
The retailer targets an operating margin of between 4.5% and 5% over the medium term, and synergies in terms of purchases that should enable Fnac Darty to increase its gross margin slightly over 2017 and 2018.
Oddo forecasts that beyond this the development of the group's product mix and the sharp increase in the level of franchised stores should result in a very slight decline.
Copyright (c) 2017 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.