Atos: UBS still a buyer, but cuts target price
(CercleFinance.com) - UBS has confirmed its "buy" rating on the Atos stock, although has cut its target price from 146 euros to 122 euros, meaning upside potential of 22% for the French IT Services group.
"Cash flow is key, meaning Q3 revenues will be a limited catalyst," the broker confirms in its research report.
UBS has added Syntel (the acquisition of which was announced last July) to its valuation model for Atos, although it has reduced its free cash flow multiples for all the group's peers, which has led it to cut its target price.
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.
"Cash flow is key, meaning Q3 revenues will be a limited catalyst," the broker confirms in its research report.
UBS has added Syntel (the acquisition of which was announced last July) to its valuation model for Atos, although it has reduced its free cash flow multiples for all the group's peers, which has led it to cut its target price.
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.