Alstom: encouraging prospects, Oddo stays on buy
(CercleFinance.com) - After the severe impact of the pandemic in the first quarter of the financial year (with a 25% slump in revenue in April and June), Oddo expects a more moderate fall in the 2nd quarter (-6%), reminding that traffic is down but nobody has cancelled deliveries or orders.
The analyst estimates that revenue in the first half should reach 3.45 billion euros compared to 4.14 billion a year earlier and expects substantially lower but probably not catastrophic results, with an EBIT of 214 million euros, or a margin of 6.2%.
According to the broker, prospects are good in the 2nd quarter with a 3rd quarter close to the levels of last year, and a 4th quarter on the rise thanks to an order book estimated to be worth 40.5 million euros at the end of September.
As a consequence, Oddo remains on 'buy' with a price target of 55 euros.
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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 analyst estimates that revenue in the first half should reach 3.45 billion euros compared to 4.14 billion a year earlier and expects substantially lower but probably not catastrophic results, with an EBIT of 214 million euros, or a margin of 6.2%.
According to the broker, prospects are good in the 2nd quarter with a 3rd quarter close to the levels of last year, and a 4th quarter on the rise thanks to an order book estimated to be worth 40.5 million euros at the end of September.
As a consequence, Oddo remains on 'buy' with a price target of 55 euros.
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.