(News Bulletin 247) – Oddo maintains its ‘outperformance’ rating on Capgemini shares, with a slightly reduced target price of 226 to 223 euros.
While Capgemini will publish its 4th quarter sales on May 4 (before trading), Oddo anticipates a slowdown in organic growth going beyond even simple base effects.
The analysis office is thus cautiously targeting org growth. Q1 of 7.5%, or 8.1% at cc (M&A impact of +0.6pt), a figure slightly below consensus expectations (Visible Alpha +8.4% at cc).
‘The slowdown in Q2 growth is logically confirmed (ODDO BHF: +5.1% org), as reported recently by Accenture. The central scenario remains to reach the low point of growth in Q3 (ODDO BHF: +3.8% org)’, specifies the analyst.
‘Ahead of this publication we marginally adjust our org growth forecast. 2023 (+5.4% vs 5.7% previous) and we integrate the latest small acquisitions. We are marginally adjusting our operating margin forecasts downwards (13.1% vs 13.2% previously),’ concludes Oddo.
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