Airbus: Goldman Sachs still a buyer

(CercleFinance.com) - Overall, the analyst expects Airbus to report strong Q4 performance.


"Our 2020 group EBIT forecasts rise by 20% due to lower R&D and positive non-recurring items in the Airbus division, as well as strong momentum in Q4 across the ADS and Helicopters division," says Goldman Sachs.

"At FCF we model a +E3bn inflow in Q4, reflecting solid execution on deliveries in Airbus commercial as well as a meaningful improvement in cash performance in ADS and Helicopters vs outflows in 2019. This leaves our FY20 FCF forecast at -E8.7bn," the analyst adds.

"Looking ahead to 2021 we model 620 deliveries in the Airbus division and E3.6bn in Group EBIT, down 9%".

Goldman Sachs confirms its buy rating on the Airbus share, with it one of the most attractive in its sector. It has a target price of 137 euros (current price: 85 euros).


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