Bureau Veritas, a recovery story to be confirmed.
(CercleFinance.com) - Since the beginning of the year on the stockmarket, the fortunes of the major European certification groups have been highly variable: the share price of the Swiss SGS has fallen by 8%, while on the contrary those of the French group, Bureau Veritas and the British Intertek have risen by this amount.
Last autumn, the share price of the Certification Group Bureau Veritas fell to around 17 euros, its lowest level since the spring of 2012. However, since then, it has begun to rise, bringing it back to around 20 euros. Is this certification group now set to recover further?
Indeed, conditions in this sector are closely related to general economic conditions, particularly in Europe. However, recently there are an increasing number of signs of a recovery in Europe and 2015 may therefore prove to be much a lot better than 2014. Although investors need to watch the mining and raw materials sectors, and particularly oil.
On the stockmarket, the rises of Bureau Veritas and Intertek seem to require a confirmation. Remember that SGS' 2014 accounts and forecasts, which it published on 21 January were sanctioned on the Zurich Stock Exchange. Although it is true that the soaring Swiss franc has also weighed on the entire Swiss stockmarket.
Investors therefore need to watch Bureau Veritas' FY results, which are scheduled for 26 February, followed by those of Intertek, which are due on 2 March.
Copyright (c) 2015 CercleFinance.com. Tous droits réservés.