Accor: Jefferies still a buyer after trading update
(CercleFinance.com) - Jefferies says that Accor's unanticipated update highlights the deterioration of the market since the announcement of its 2019 results.
"COVID-19 has led to a sharp deceleration in activity across Europe, Accor's core market," Jefferies says.
At the end of February, the Group recorded a 4.5% y-o-y decline in RevPAR at constant consolidation scope and exchange rates, with February down 10.2%.
"Over the first two months, the impact to EBITDA has been E20m," Accor management said.
Following this announcement, Jefferies has confirmed its buy rating on the share, with its target price of 51 euros.
Accor has also confirmed that it has completed the sale of its stake in Orbis and the sale of the Mövenpick hotels portfolio.
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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.
"COVID-19 has led to a sharp deceleration in activity across Europe, Accor's core market," Jefferies says.
At the end of February, the Group recorded a 4.5% y-o-y decline in RevPAR at constant consolidation scope and exchange rates, with February down 10.2%.
"Over the first two months, the impact to EBITDA has been E20m," Accor management said.
Following this announcement, Jefferies has confirmed its buy rating on the share, with its target price of 51 euros.
Accor has also confirmed that it has completed the sale of its stake in Orbis and the sale of the Mövenpick hotels portfolio.
Copyright (c) 2020 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.