Iliad: Barclays cuts target price
(CercleFinance.com) - In a note on French telecom services, Barclays reinstates its "weight in line" recommendation on the Iliad share, which is the parent company of Free, while cutting its corresponding target price from 115 euros to 100 euros, incorporating losses in Italy.
"The French competitive environment continues to show improving trends in Q3 19. With players having given up on forcing consolidation, this more constructive environment should last," the broker says.
While sector ROCE remains low (around 5%), less promotional activity and lower commercial costs should, Barclays says, support margin expansion, while investment spending remains stable.
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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.
"The French competitive environment continues to show improving trends in Q3 19. With players having given up on forcing consolidation, this more constructive environment should last," the broker says.
While sector ROCE remains low (around 5%), less promotional activity and lower commercial costs should, Barclays says, support margin expansion, while investment spending remains stable.
Copyright (c) 2019 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.