SES: Credit Suisse cuts target price

(CercleFinance.com) - Crédit Suisse confirms its outperform recommendation on the SES share, while cutting its target price to 12 euros (vs.
19 euros).

"In the context of the recent significant market sell-off, we view global satellites as defensive, having very low sensitivity to COVID-19. We are 4% ahead of 2022E SES consensus EBITDA and continue to prefer SES to Eutelsat (Neutral)."

"We cut 2020E-22E SES revenue forecasts by 7-10% but believe SES can maintain its EBITDA margin at c.60% due to (1) cost cutting aimed at saving E40-50m pa from 2021E; and (2) the avoidance of extending or renewing very low-margin Video activities," Crédit Suisse adds.



Copyright (c) 2020 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.