Atos: in 'total disagreement' with Credit Suisse
(CercleFinance.com) - Last night, Atos reacted to Credit Suisse's report that was published yesterday, which challenges the group's cash flow management, while downgrading its rating on the stock to sell.
After falling 10.4% yesterday, the Atos share is recovering about 1% this morning.
The group "totally disagrees" on the claimed artificial swelling of its free cash flow generation. According to Atos, the financial agreements on large accounts have been in place for years to manage the working capital requirement by offsetting the more favorable terms of billing that are granted to a number of clients.
Therefore, considering exclusive financial arrangements with clients without taking into account more favourable billing and payment terms (...) makes no sense, Atos contests.
The group finally confirms its targets - particularly that of achieving a free cash flow conversion rate of around 60% in 2018, before reaching around 65% in 2019.
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.
After falling 10.4% yesterday, the Atos share is recovering about 1% this morning.
The group "totally disagrees" on the claimed artificial swelling of its free cash flow generation. According to Atos, the financial agreements on large accounts have been in place for years to manage the working capital requirement by offsetting the more favorable terms of billing that are granted to a number of clients.
Therefore, considering exclusive financial arrangements with clients without taking into account more favourable billing and payment terms (...) makes no sense, Atos contests.
The group finally confirms its targets - particularly that of achieving a free cash flow conversion rate of around 60% in 2018, before reaching around 65% in 2019.
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.