Bonduelle: Portzamparc more cautious on share.
(CercleFinance.com) - Following an analysts' meeting, broker Portzamparc is less positive about the specialist of processed vegetables Bonduelle.
It has hence downgraded its buy rating on the stock to hold, although maintains its target price for the share at 36 euros.
After a meeting organised with the SFAF, the broker's "smidcaps" analysts in particular consider "a somewhat disappointing guidance for Ready Pac Foods", a big American name in salads in sachets, whose takeover was finalised at the beginning of the year. According to Portzamparc, Bonduelle's forecasts suggest "a margin for Ready Pac Foods of 2.6% (20 million-21 million euros), below what we were expecting."
As a result, Portzamparc analysts have reduced their forecast of underlying operating income for the group from 150 million euros to 142 million euros, while not ruling out that management may exceed its forecasts.
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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.
It has hence downgraded its buy rating on the stock to hold, although maintains its target price for the share at 36 euros.
After a meeting organised with the SFAF, the broker's "smidcaps" analysts in particular consider "a somewhat disappointing guidance for Ready Pac Foods", a big American name in salads in sachets, whose takeover was finalised at the beginning of the year. According to Portzamparc, Bonduelle's forecasts suggest "a margin for Ready Pac Foods of 2.6% (20 million-21 million euros), below what we were expecting."
As a result, Portzamparc analysts have reduced their forecast of underlying operating income for the group from 150 million euros to 142 million euros, while not ruling out that management may exceed its forecasts.
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.