Altran: Invest Securities welcomes acquisition of Aricent.
(CercleFinance.com) - Invest Securities has reinstated its "buy" rating and target price of 18 euros on the Altran stock, the day after the announcement of its acquisition of Aricent which the broker says makes a lot of sense strategically.
Adjusted for the specific business of software deals, the metrics of the transaction (profitability, transaction multiples) are much more relevant and show a margin that seems sustainable over the medium-to-long term, the analyst monitoring the stock points out.
Therefore, considering the "value creation" deal, the analysts maintain their buy rating on the stock, even though it is aware that it "could lack short-term catalysts in light of uncertainties (terms of the capital increase, deadline for completion)."
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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.
Adjusted for the specific business of software deals, the metrics of the transaction (profitability, transaction multiples) are much more relevant and show a margin that seems sustainable over the medium-to-long term, the analyst monitoring the stock points out.
Therefore, considering the "value creation" deal, the analysts maintain their buy rating on the stock, even though it is aware that it "could lack short-term catalysts in light of uncertainties (terms of the capital increase, deadline for completion)."
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.