(News Bulletin 247) – Oddo BHF reiterates its ‘neutral’ opinion on Aperam, while lowering its price target from 45 to 42 euros, representing an upside potential of 22%, having rebased its expectations for the entire period forecast for the steelmaker.
‘The unfavorable momentum is offset by solid fundamentals such as high cash generation and high returns to shareholders (expected return of 14% including early share buybacks)’, judges the analyst.
However, he considers that the valuation remains demanding at five times 2023 EBITDA on the basis of his expectations compared to 3.9 times for Acerinox and 3.7 times for Outokumpu, two peers he still favors, highlighting a geographical mix more favorable.
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