Elior: Berenberg cuts target price

(CercleFinance.com) - On Tuesday Berenberg reduced its target price for Elior shares to 7 euros (from 7.
3 euros), in anticipation of a "more gradual" recovery of the business in France.

The German broker, which has a buy recommendation on the stock, said it remains positive on the catering group, however, which it sees as a major beneficiary of the trends in its market.

Berenberg points out that the company has seen its order book grow significantly in recent months.

And while it notes that Elior is aiming for higher profit margins after the pandemic than before the crisis, it also points out that the group's margins in 2019 were lower than in previous years.

However, today investors still seem to prefer to have lunch at home, with the share currently down over 2% in Paris.



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