Elior: Oddo BHF still a buyer; cuts target price
(CercleFinance.com) - Oddo BHF maintains its "buy" recommendation on the Elior stock, although has cut its target price from 17 euros to 15 euros, following an investor meeting held by the catering and services group, which shows a slower-than-expected capacity to rebound.
The broker nevertheless believes that everything is not to be thrown away and that the main disappointment of the investor day comes more stems from the group's current situation, which is worse than expected, than targets for 2021 in themselves.
The group's rebound capacity remains real in light of fundamentals, even though this is slower than expected, the analyst tempers, adding that at its current price, the Elior stock is trading at a 2020 P/E of 13x and an FCF yield of 5.5%.
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.
The broker nevertheless believes that everything is not to be thrown away and that the main disappointment of the investor day comes more stems from the group's current situation, which is worse than expected, than targets for 2021 in themselves.
The group's rebound capacity remains real in light of fundamentals, even though this is slower than expected, the analyst tempers, adding that at its current price, the Elior stock is trading at a 2020 P/E of 13x and an FCF yield of 5.5%.
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.