Valeo: a buyer, UBS maintains target price.
(CercleFinance.com) - UBS is maintaining its buy rating on the stock of the French automotive supplier Valeo, which this morning has suffered from a disappointing quarterly business review.
Analysts point to the virtual doubling of orders at eAutomotive, the joint venture between Valeo and Siemens. The broker maintains its 12-month target price of 82 euros.
Indeed, the group published Q3 sales of 4.3 billion euros, which are about 1% below the consensus, UBS estimates. The fact remains that in organic terms, growth reaches 6%, up slightly from Q2 (5%). China (+16%, again on a like-for-like basis) and the Thermal and CDA divisions (comfort and driving assistance) also stood out, with growth rates of 7%.
Valeo is therefore outperforming global production by 4pts (by region: China: +16pts above market growth, Europe: +1pt, North America: +9pts).
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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.
Analysts point to the virtual doubling of orders at eAutomotive, the joint venture between Valeo and Siemens. The broker maintains its 12-month target price of 82 euros.
Indeed, the group published Q3 sales of 4.3 billion euros, which are about 1% below the consensus, UBS estimates. The fact remains that in organic terms, growth reaches 6%, up slightly from Q2 (5%). China (+16%, again on a like-for-like basis) and the Thermal and CDA divisions (comfort and driving assistance) also stood out, with growth rates of 7%.
Valeo is therefore outperforming global production by 4pts (by region: China: +16pts above market growth, Europe: +1pt, North America: +9pts).
Copyright (c) 2017 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.