Pernod Ricard: Oddo BHF adjusts target price
(CercleFinance.com) - While maintaining its "neutral" opinion on the Pernod Ricard share, Oddo BHF has trimmed its target price from 150 euros to 148 euros, saying that it is adopting a cautious view of the cognac market, following a seminar in November 2018.
After growth accelerated over the last two years, the market now appears riskier in the near term and its downturn will impact earnings growth of all spirits groups, the broker explains.
Although it says that cognac remains an irreplaceable asset and that guarantees a high valuation over the long term, due to its scarcity and upmarket nature, analysts are cautious about spirits in the near future.
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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.
After growth accelerated over the last two years, the market now appears riskier in the near term and its downturn will impact earnings growth of all spirits groups, the broker explains.
Although it says that cognac remains an irreplaceable asset and that guarantees a high valuation over the long term, due to its scarcity and upmarket nature, analysts are cautious about spirits in the near future.
Copyright (c) 2018 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.