Far from the tumult of the publications of the large companies of the Cac 40 and in Europe, Edenred and Ipsos continued their merry way on the Stock Exchange this week, to register new all-time highs, at almost identical levels, of 51.80 euros for the first, this Friday, and 51.10 euros for the second, yesterday Thursday.
Both have published excellent half-year accounts, which has led most analyst firms that follow these stocks to raise their price targets, while maintaining their favorable views, to buy or “outperform”. This is notably the case of Barclays and Credit Suisse for Edenred, and of Kepler Cheuvreux, Oddo BHF, Portzamparc, CIC Market Solutions for Ipsos.
Edenred, an “inflation” stock
On July 26, Edenred thus delivered a very good half-year report. The inventor of the Ticket Restaurant, whose offer has since been greatly diversified, published record results, exceeding the expectations of financial analysts. Operating revenue reached 891 million euros in the first half, up more than 20%. In the second quarter, growth even accelerated compared to the growth recorded at the end of March.
Several factors explain this performance. The group first highlights its digital platform, which has enabled it to continue ” the penetration of its markets by relying on its differentiating technological assets and its commercial know-how “. This asset has notably favored the increase of more than 50% in the number of contracts signed with VSEs and SMEs, a segment that is still under-equipped. In France, for example, the penetration rate of meal vouchers in SMEs is less than 10%.
The business is also benefiting from an increasingly extensive offer: in Employee Benefits, which cover, in addition to meal vouchers, gift cards, mobility tickets and other solutions to equip teleworkers; but also in Mobility Solutions, which are not limited to fuel cards but also allow the payment of car parks and tolls, reimbursement of VAT, access to maintenance services, etc.
Furthermore, unlike most companies, Edenred is benefiting from an inflationary environment, in which employers are looking for solutions to improve the purchasing power of their employees and to better control their fleet management costs, areas where the group operates. On the whole of the year, the result should increase by 15% to 22% on the basis of the range of forecasts put forward by management.
“Everyone changes, Ipsos changes”
A few days earlier, the survey and polling group had said it was able to generate growth of 5% this year, at constant scope and exchange rates, without a drop in the operating margin, which would remain at 21, 9%. At the end of June, the study order book was up sharply by 14%.
Investors appreciate, in this file, the transformation operated by the company during these last years. ” As the world changes, so does Ipsosexplained Ben Page, the managing director of the world number four in the sector, during the investor meeting in mid-June, on the occasion of the presentation of the financial objectives for 2025. Ten years ago, our biggest customers were in consumer goods. Today, they are technology companies: media, technology and telecoms represent 18% of our turnover worldwide “. Visibility also comes from the strong opportunities from the services provided after the States. ” We work with more governments than any other “, had underlined the boss of Ipsos.
The group intends to further strengthen its presence in certain dynamic countries, such as India, China and the United States. “The United States is the world’s leading market, although it represents less than 30% of our international sales. The potential and the scope of opportunities are enormous for Ipsos”, explained Ben Page. New services should, for their part, represent more than 30% of turnover in 2025, against 20% in 2021.