Alstom: Oddo BHF ups target price
(CercleFinance.com) - After a meeting with Alstom's management, Oddo BHF analysts note that the French railway equipment supplier "is in great shape".
As a result, they have confirmed their buy rating on the stock and have increased their target price from 47 euros to 49 euros, which suggests upside potential of 25%.
Analysts note the "remarkable momentum" shown by Alstom's non-calendar interim accounts, with organic growth of 23%, a record adjusted operating margin of 7.1%, and profits well above expectations.
After its contacts with group management, Oddo says that the first half was fundamentally solid at all levels, and that Alstom is seeing a growth momentum that will continue further. The market remains buoyant and virtually non-cyclical, and only a major crisis, such as that of 2008, could threaten funding. Indeed, the group only has a very small number of order cancellations.
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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.
As a result, they have confirmed their buy rating on the stock and have increased their target price from 47 euros to 49 euros, which suggests upside potential of 25%.
Analysts note the "remarkable momentum" shown by Alstom's non-calendar interim accounts, with organic growth of 23%, a record adjusted operating margin of 7.1%, and profits well above expectations.
After its contacts with group management, Oddo says that the first half was fundamentally solid at all levels, and that Alstom is seeing a growth momentum that will continue further. The market remains buoyant and virtually non-cyclical, and only a major crisis, such as that of 2008, could threaten funding. Indeed, the group only has a very small number of order cancellations.
Copyright (c) 2018 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.