Maisons du Monde: Jefferies still a buyer, cuts target

(CercleFinance.com) - Jefferies reinstates its "buy" recommendation on the Maisons du Monde share, even though it has cut its corresponding target price from 35 euros to 24 euros, after the chain of decorative items and furniture cut its estimates.


"MdM's valuation de-rating has been severe and the stock now trades at a 40% discount to the sector," the broker underlines, considering that management's five-year vision to be "innovative, exciting and affordable".

"Though we estimate EBITDA CAGR will slow to 4.5% FY18-FY21E we believe it makes sense to proactively invest for durable growth," the broker adds.


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