Dufry: Stifel cuts target price
(CercleFinance.com) - Stifel maintains its "hold" rating on Dufry shares, having reduced its target price for them from 54 to 44 Swiss francs, based on lower estimates, with the broker saying that it still prefers Autogrill in the sector.
While "pent-up demand" is currently the buzzword in travel, Stifel believes Dufry "should be no exception and should benefit from improving momentum, potentially offering headroom to FY22 consensus estimates".
Nevertheless, the broker still sees risks to the Swiss duty-free retailer's medium-term free cash flow recovery, and believes that "the recent macro uncertainties further limit the visibility beyond the summer season".
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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.
While "pent-up demand" is currently the buzzword in travel, Stifel believes Dufry "should be no exception and should benefit from improving momentum, potentially offering headroom to FY22 consensus estimates".
Nevertheless, the broker still sees risks to the Swiss duty-free retailer's medium-term free cash flow recovery, and believes that "the recent macro uncertainties further limit the visibility beyond the summer season".
Copyright (c) 2022 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.