Grandvision: Berenberg downgrades to 'hold'

(CercleFinance.com) - Berenberg has abandoned its "buy" rating on the GrandVision share, the Dutch optical distributor that is expected to be bought by EssilorLuxottica.

While adopting a "hold" rating, the broker has however nudged up its target price from 25 euros to 28 euros (current share price around 27.5 euros), which represents the price offered by the Franco-Italian optical giant.

Analysts believe that the Dutch group's quarterly results were mixed, with a better-than-expected sales, although disappointing margins.

However, GrandVision's fundamentals should logically fall into the background with EssilorLuxottica's offer, which Berenberg says should be authorised by competition regulators. This explains the change in Hence the change in Berenberg's rating.


Copyright (c) 2019 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.