Home > Analyse
Actualite financiere : Actualite bourse

Thales: Oddo upgrades to 'buy'

(CercleFinance.com) - In a report issued on Tuesday morning, Oddo has upgraded its rating on the Thales stock from "neutral" to "buy," raising its target price from 99 euros to 107 euros.


The broker is of course reacting to the takeover of Gemalto, an operation which it believes greatly enhances Thales' growth profile - which is taking a clear turn towards digital security - without drastically changing its valuation multiples. It is therefore looking for 2017/2020 EPS CAGR at the NewCo of 17.6%, against 10.9% for Thales alone.

Oddo also incorporates pre-tax cost synergies (purchases, SG&A, R&D, etc.) of 40 million euros in 2019 and 80 million euros in 2020, i.e. 2.5% of the target's turnover over this time span. Furthermore, the broker emphasizes that "this growth does not take into account income synergies, which offer additional potential.


Copyright (c) 2017 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.