Soitec: Oddo BHF cuts target price

(CercleFinance.com) - While maintaining its 'outperform' opinion on Soitec shares, Oddo BHF has lowered its target price for them from E158 to E142, after reducing its EPS forecasts by 15% (average for the next two years) following the issue of a profit warning.


While Soitec has confirmed that it will achieve its guidance for FY 2024 (year-end March), the analyst points out that the bad news is that sales are expected to remain stable for the next FY 2025, a level well below expectations.

Compared with the profit warning issued a year ago, however, Oddo BHF notes a significant difference with the improvement in the smartphone market, which gives us greater confidence that sales will return to organic growth from the second half.


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