Valeo: Invest Securities still a buyer

(CercleFinance.com) - The broker says that the group's Q1 2022 sales figures, which exceeded expectations, did not provide a clear indication of activity and margins in Q2, as there have been an increased number of factors of uncertainty since March.


The group, which had already detailed its outlook in a CMD at the end of February, reiterated its FY 2022 guidance, which seems to be able to withstand changes in the macro context. This is why analysts are not changing their estimates, which they already significantly reduced in February, Invest Securities says.

The analyst confirms his target price of 31.5 euros for the stock (vs. 31.9 euros), along with a buy rating. This remains unchanged given low 2023/24 multiples, even though the momentum of expectations remains fragile - both in the auto markets, Valeo's margin and VSeA's results.

The share is doing quite well this morning, up almost 2%, outperforming the market by over 0.5%.


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