(News Bulletin 247) – Oddo maintains its outperformance rating on Sodexo shares, with a price target raised from 99 to 113 euros.
The analyst indicates that Sodexo published yesterday before market H1 results above expectations, in particular on organic growth (13.4% in H1 including 14.6% in Q2) marked by a sequential acceleration in BRS (+24.9% in Q2 after +23.4 % at Q1).
On EBIT, Sodexo also surprised positively with a margin of 5.8%, or +60 bps (vs. consensus 5.6%) but maintained its FY guidance of 5.5% at constant exchange rates, reports the analyst office.
‘Sodexo also announced the unanimous approval by its Board of Directors of a proposed spin-off and listing of the BRS division in 2024. We are positively surprised by the timing of this decision, which we were expecting later’, Oddo continues.
In this context, Oddo confirms its preference for Sodexo in collective catering and highlights its healthy balance sheet as well as its significant potential for improving activities.
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