Atos: Invest Securities raises target price
(CercleFinance.com) - Invest Securities reinstates its "buy" rating on the Atos share, having increased its corresponding target price from 80 euros to 85 euros, albeit with little enthusiasm in the near term, the day after the IT services group published its annual results.
The broker highlights a disappointing 2020 EBITA margin (9.0%), which came in at the bottom of the guidance range that Atos provided (9.0%-9.5%), as well as remaining doubts about the credibility of the group's strategy and its acquisition policy.
Considering that the stock's performance no longer really seems to be a valuation issue any more, as this appears extremely low by current standards, the analyst fears that it may continue to suffer from a confidence issue for some time.
The Atos share is up about 3% in early trading on Friday, currently the silver medal holder in Paris.
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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.
The broker highlights a disappointing 2020 EBITA margin (9.0%), which came in at the bottom of the guidance range that Atos provided (9.0%-9.5%), as well as remaining doubts about the credibility of the group's strategy and its acquisition policy.
Considering that the stock's performance no longer really seems to be a valuation issue any more, as this appears extremely low by current standards, the analyst fears that it may continue to suffer from a confidence issue for some time.
The Atos share is up about 3% in early trading on Friday, currently the silver medal holder in Paris.
Copyright (c) 2021 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.