Thales: Oddo adjusts target price
(CercleFinance.com) - Oddo maintains its neutral rating on Thales shares, while nudging up its target price for them from 134 to 137 euros (cp: E131, +2.
5%).
The analyst says that the stock's valuation is fair and reflects the risks to growth.
For Oddo, supply chain issues - which management expects to continue throughout the year - and recruitment issues (even though the company is optimistic about its ability to hire 12,000 people), as well as the macro environment, will limit growth potential in 2023.
The broker nevertheless expects organic growth of 6.9% in 2023, at the top of the guidance range (4% to 7%), driven by the recovery in the avionics and space sectors.
In this context, Oddo has inched up its estimates (+0.6%/0.4%/0.4% respectively for 2023/24/25 EPS), mainly to reflect the consequences of better FCF generation and the recovery of interest rates on financial income.
Copyright (c) 2023 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.
5%).
The analyst says that the stock's valuation is fair and reflects the risks to growth.
For Oddo, supply chain issues - which management expects to continue throughout the year - and recruitment issues (even though the company is optimistic about its ability to hire 12,000 people), as well as the macro environment, will limit growth potential in 2023.
The broker nevertheless expects organic growth of 6.9% in 2023, at the top of the guidance range (4% to 7%), driven by the recovery in the avionics and space sectors.
In this context, Oddo has inched up its estimates (+0.6%/0.4%/0.4% respectively for 2023/24/25 EPS), mainly to reflect the consequences of better FCF generation and the recovery of interest rates on financial income.
Copyright (c) 2023 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.