Euronext: Citi upgrades to 'buy'
(CercleFinance.com) - As part of a sector report on stockmarket operators, Citi has upgraded its rating on Euronext shares from "neutral" to "buy".
Analysts have raised their corresponding target price from 72 euros to 86 euros.
According to analysts, shares of stockmarket operators are expected to continue to outperform those of asset managers, as has been the case over the past five years. Why? Because they offer what has become rare amongst European financial stocks - growth. In addition, sector concentration is still on the cards.
In this context, Euronext, although less dynamic than the LSE, is distinguished by Citi for its 2021 P/E of around 16x only, against 20x for the LSE (taking into account the deal with Refinitiv) and 21x for Deutsche Börse.
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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 have raised their corresponding target price from 72 euros to 86 euros.
According to analysts, shares of stockmarket operators are expected to continue to outperform those of asset managers, as has been the case over the past five years. Why? Because they offer what has become rare amongst European financial stocks - growth. In addition, sector concentration is still on the cards.
In this context, Euronext, although less dynamic than the LSE, is distinguished by Citi for its 2021 P/E of around 16x only, against 20x for the LSE (taking into account the deal with Refinitiv) and 21x for Deutsche Börse.
Copyright (c) 2019 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.