Plastic Omnium: Invest Securities raises target price
(CercleFinance.com) - Invest Securities confirms its neutral rating on the Plastic Omnium share, although has raised its target price from 15.
8 euros to 19.9 euros.
The broker said that, as expected, Q2 was a very difficult period for the group's H1 results, which were marked by the shutdown of activities in Europe and the NAFTA zone. EBIT became negative, FCF is heavily negative, while provisions for impairment and a new cost reduction plan complete the picture.
There will only be a partial catch-up in H2 and the market guideline for H2 and in 2021/22 remain the most pessimistic in the group's sector. As a result, analysts are reducing their 2020/22 EPS estimates by -86%/-38%/-18% respectively, adopting a recovery scenario that is weaker than our previous hopes, Invest Securities adds.
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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.
8 euros to 19.9 euros.
The broker said that, as expected, Q2 was a very difficult period for the group's H1 results, which were marked by the shutdown of activities in Europe and the NAFTA zone. EBIT became negative, FCF is heavily negative, while provisions for impairment and a new cost reduction plan complete the picture.
There will only be a partial catch-up in H2 and the market guideline for H2 and in 2021/22 remain the most pessimistic in the group's sector. As a result, analysts are reducing their 2020/22 EPS estimates by -86%/-38%/-18% respectively, adopting a recovery scenario that is weaker than our previous hopes, Invest Securities adds.
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.