Amadeus: shares drop on UBS downgrade.
(CercleFinance.com) - Shares in Amadeus have been hit by a broker's comments, currently down 1.
5% at 53.7 euros in Madrid, after UBS downgraded its rating on the stock from "buy" to "neutral," based on valuation grounds.
While the shares have shrugged off the news of IAG's plan to follow Lufthansa and introduce a GDS booking surcharge, the brokerage firm thinks that it is still possible that Air France-KLM may follow the same path in the future.
UBS adds that a buyback remains a possible catalyst in H2, but sees this as a limited catalyst at the share's current valuation.
The broker has hence cut its target price from 55 euros to 50 euros.
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.
5% at 53.7 euros in Madrid, after UBS downgraded its rating on the stock from "buy" to "neutral," based on valuation grounds.
While the shares have shrugged off the news of IAG's plan to follow Lufthansa and introduce a GDS booking surcharge, the brokerage firm thinks that it is still possible that Air France-KLM may follow the same path in the future.
UBS adds that a buyback remains a possible catalyst in H2, but sees this as a limited catalyst at the share's current valuation.
The broker has hence cut its target price from 55 euros to 50 euros.
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.