Dia: Oddo maintains Sell rating, adjusting target price

(CercleFinance.com) - Dia has made a new profit warning for its 2018 results (after those on 2017 results).


Poor visibility and the loss of confidence on the group's strategy reinforces Oddo's sell rating on the stock, with the broker adjusting its target price to 0.90 euro.

Due to pressure on sales, its gross margin and higher costs, Dia estimates that its adjusted 2018 EBITDA will be in a range of 350 million euros to 400 million euros, which is 20% to 30% less than the consensus (500 million euros) and 30% to 40% down relative to 2017, Oddo says.

Dia will publish its Q3 2018 results on 30 October. Oddo adds that it doubts that management will be able to bring tangible strategic elements by then.



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