Plastic Omnium: Invest Securities upgrades stock
(CercleFinance.com) - Invest Securities has upgraded its rating on the Plastic Omnium share from "neutral" to "buy," having increased its corresponding target price from 22.
5 euros to 35.1 euros, which gives it upside potential of 24%, after increasing its 2020-22 EPS estimates by +111%/+46%/+34% respectively.
The analyst says that it is not so much the increase in guidelines for H2 2020, but rather the group's comments that it will return to profitability and FCF levels of 2019 as from 2021 that leads the broker to hike its estimates.
Moreover, with the POM-Elringklinger agreement, the prospects for hydrogen technologies through to 2030 represent a long-term "plus" for the group. Although - at this stage - it is not increasing its estimates due to this, it continues.
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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.
5 euros to 35.1 euros, which gives it upside potential of 24%, after increasing its 2020-22 EPS estimates by +111%/+46%/+34% respectively.
The analyst says that it is not so much the increase in guidelines for H2 2020, but rather the group's comments that it will return to profitability and FCF levels of 2019 as from 2021 that leads the broker to hike its estimates.
Moreover, with the POM-Elringklinger agreement, the prospects for hydrogen technologies through to 2030 represent a long-term "plus" for the group. Although - at this stage - it is not increasing its estimates due to this, it continues.
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.