Sodexo: Berenberg still a buyer
(CercleFinance.com) - Berenberg maintains its buy rating on the Sodexo share, along with its target price of 70 euros, following last week's Q3 results.
In its research comments, the German broker reiterates its expectation of a "gradual" recovery in business, which, in its view, is unlikely to materialise before the next fiscal year.
Berenberg says he is particularly concerned about the low visibility affecting the business services and university activities, which it believes are highly dependent on life in offices, classrooms and lecture theatres getting back to normal.
However, the broker says, "Longer-term we remain constructive on the opportunities in the industry for Sodexo and believe the shares are attractive at these levels".
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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 its research comments, the German broker reiterates its expectation of a "gradual" recovery in business, which, in its view, is unlikely to materialise before the next fiscal year.
Berenberg says he is particularly concerned about the low visibility affecting the business services and university activities, which it believes are highly dependent on life in offices, classrooms and lecture theatres getting back to normal.
However, the broker says, "Longer-term we remain constructive on the opportunities in the industry for Sodexo and believe the shares are attractive at these levels".
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.