Eiffage: Oddo still a buyer
(CercleFinance.com) - Oddo confirms its Outperform opinion on the Eiffage stock, maintaining its target price at 117 euros.
The analyst says that management has confirmed the momentum of Contracting, despite the inflationary environment. Meanwhile, at 30 June 2022, the order book for Construction work was up by 9% y-o-y (compared to +2% for Vinci and +1% for Bouygues), Oddo notes.
However, against this, Oddo says that Motorway concessions will weigh on the future, Oddo says, however. After the 400 million euro planning contract, which is soon expected to be approved by the French Council of State, Eiffage was fairly confident that the motorway concessionaires would be able to reach an agreement with the French government.
Benefiting from this good momentum in construction and motorway traffic, the analyst has raised his EBIT estimates by 2.1% for 2022, confirming an Outperform rating on the stock. Eiffage is one of the groups that is the best protected in its scope against the current macroeconomic risks, while its valuation remains attractive.
Copyright (c) 2022 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.
The analyst says that management has confirmed the momentum of Contracting, despite the inflationary environment. Meanwhile, at 30 June 2022, the order book for Construction work was up by 9% y-o-y (compared to +2% for Vinci and +1% for Bouygues), Oddo notes.
However, against this, Oddo says that Motorway concessions will weigh on the future, Oddo says, however. After the 400 million euro planning contract, which is soon expected to be approved by the French Council of State, Eiffage was fairly confident that the motorway concessionaires would be able to reach an agreement with the French government.
Benefiting from this good momentum in construction and motorway traffic, the analyst has raised his EBIT estimates by 2.1% for 2022, confirming an Outperform rating on the stock. Eiffage is one of the groups that is the best protected in its scope against the current macroeconomic risks, while its valuation remains attractive.
Copyright (c) 2022 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.