Peugeot: Bank of America says 'buy'
(CercleFinance.com) - Bank of America is reinstating its coverage of the Peugeot share with a buy rating and a target price of 23 euros (current price: 16.
3 euros, +5%).
The broker believes that the share is "Best valuation story in EU Autos".
The analyst believes that the stock is significantly undervalued.
"We are c20% ahead of cons adj.auto '20e EBIT; expect a positive FCF surprise," it says.
"Potential catalyst: pending merger with FCA; PSA shares should benefit further assuming the deal closes in 1Q 21".
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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.
3 euros, +5%).
The broker believes that the share is "Best valuation story in EU Autos".
The analyst believes that the stock is significantly undervalued.
"We are c20% ahead of cons adj.auto '20e EBIT; expect a positive FCF surprise," it says.
"Potential catalyst: pending merger with FCA; PSA shares should benefit further assuming the deal closes in 1Q 21".
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.