Sodexo: Jefferies raises target price
(CercleFinance.com) - Jefferies is maintaining its "hold" rating on the Sodexo stock, although has upped its target price from 88 euros to 94 euros, after the services group reported preliminary figures that the broker deemed as “encouraging”.
In particular, Jefferies underlined that Sodexo's sales growth accelerated in its fourth quarter, and that a number of factors will support sustained growth over FY 2018-19.
However, the broker pointed that "FY19F guidance was not the margin reset anticipated by bears but Sodexo's recovery won't be swift and consequently we believe the shares are fairly valued."
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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.
In particular, Jefferies underlined that Sodexo's sales growth accelerated in its fourth quarter, and that a number of factors will support sustained growth over FY 2018-19.
However, the broker pointed that "FY19F guidance was not the margin reset anticipated by bears but Sodexo's recovery won't be swift and consequently we believe the shares are fairly valued."
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.