Solvay: shares slip, Berenberg starts as 'hold'
(CercleFinance.com) - Shares in Solvay are down 1.
2% at 88.1 euros on Euronext Brussels with Berenberg initiating its coverage of the Belgian chemicals company with a "hold" rating and target price of 100 euros, suggesting upside potential of about 10%.
The German broker says that, in its view, there are only few catalysts for a "take-off" in multiples, as the group's lower-quality businesses grow at least as quickly as secular areas.
Berenberg says that since Solvay's acquisition of Cytec in 2015, the company's equity story has focused on the growth story in composites and high-value plastics, while the more cyclical activities have fluctuated according to commodity prices, such as oil and metals.
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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.
2% at 88.1 euros on Euronext Brussels with Berenberg initiating its coverage of the Belgian chemicals company with a "hold" rating and target price of 100 euros, suggesting upside potential of about 10%.
The German broker says that, in its view, there are only few catalysts for a "take-off" in multiples, as the group's lower-quality businesses grow at least as quickly as secular areas.
Berenberg says that since Solvay's acquisition of Cytec in 2015, the company's equity story has focused on the growth story in composites and high-value plastics, while the more cyclical activities have fluctuated according to commodity prices, such as oil and metals.
Copyright (c) 2018 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.