Quadient: Oddo adjusts target price
(CercleFinance.com) - Oddo confirms its "outperform" rating on Quadient shares having shaved a euro off its target price to 30 euros (from 31 euros previously).
The broker is reviewing the group's H1 results it published yesterday, including sales of 524 million euros, up 4%, although net income, group share that is down 35.6% to 29 million euros (Oddo was expecting 30.5 million euros).
Oddo mentioned the very strong resilience of the MRS profitability margin at 44.8%, as well as "strong" and "promising" momentum for the second half of the year.
Oddo says that management has confirmed a clear acceleration in H2 on the back of a solid backlog, the acceleration of recurring revenues and sales price increases.
Against this backdrop, the analyst is maintaining an operating profit forecast of 157 million euros (+6.6% y-o-y) in line with the consensus, i.e. an underlying operating margin of 16.5% in H2.
The 2021/23 roadmap has been confirmed, with organic growth of at least 3% and organic growth in underlying EBIT of at least 5% over the same period.
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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 is reviewing the group's H1 results it published yesterday, including sales of 524 million euros, up 4%, although net income, group share that is down 35.6% to 29 million euros (Oddo was expecting 30.5 million euros).
Oddo mentioned the very strong resilience of the MRS profitability margin at 44.8%, as well as "strong" and "promising" momentum for the second half of the year.
Oddo says that management has confirmed a clear acceleration in H2 on the back of a solid backlog, the acceleration of recurring revenues and sales price increases.
Against this backdrop, the analyst is maintaining an operating profit forecast of 157 million euros (+6.6% y-o-y) in line with the consensus, i.e. an underlying operating margin of 16.5% in H2.
The 2021/23 roadmap has been confirmed, with organic growth of at least 3% and organic growth in underlying EBIT of at least 5% over the same period.
Copyright (c) 2022 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.