Danone: Barclays raises target price
(CercleFinance.com) - On Wednesday Barclays analysts raised their target price for Danone shares with the effective appointment of Antoine de Saint Affrique as chief executive.
The British broker said that the new boss of the French agrifood group has all the qualities to be a "unifying force" after a troubled period.
"His track record at both Unilever and Barry Callebaut is impressive," the broker said.
"At Barry, he doubled the share price, drove up returns by 400bp and established the link between ESG and superior financial performance," Barclays points out.
While there is still a lot to do at Danone, the broker is confident in the director's abilities and points out that that reorganisation is underway at the board level, which it says opens the way to a real change.
"History suggests that revisiting Staples names at a time of a new external CEO has been a profitable investment strategy," analysts say.
"We think it could be here again," Barclays concludes, which maintains its "overweight" rating on the stock.
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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 British broker said that the new boss of the French agrifood group has all the qualities to be a "unifying force" after a troubled period.
"His track record at both Unilever and Barry Callebaut is impressive," the broker said.
"At Barry, he doubled the share price, drove up returns by 400bp and established the link between ESG and superior financial performance," Barclays points out.
While there is still a lot to do at Danone, the broker is confident in the director's abilities and points out that that reorganisation is underway at the board level, which it says opens the way to a real change.
"History suggests that revisiting Staples names at a time of a new external CEO has been a profitable investment strategy," analysts say.
"We think it could be here again," Barclays concludes, which maintains its "overweight" rating on the stock.
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.