(CercleFinance.com) – The stock has gained almost 14% in one month and has posted a gain of more than 4% since January 1, 2022.
Barclays this morning raised its price target on Safran, which it raises from 130 to 134 euros, before the publication on February 24 of the 2021 annual results of the French aeronautical equipment manufacturer.
In a research note, the financial intermediary states that it is more confident about the sales prospects of the repair and spare parts (‘aftermarket’) activity for 2022, a scenario which it associates with an improvement in margins.
While it recognizes that its new target shows upside potential from current levels and sees the stock price appreciate at the end of the current cycle, Barclays says it sees other, more attractive opportunities in the future. within the sector and therefore maintains its ‘weight in line’ recommendation on the stock.
Berenberg reduced his target price on Safran last Friday, which he increased from 150 to 140 euros, while maintaining his buy recommendation on the title of the French aeronautical equipment manufacturer.
In a research note, the German broker recalls a saying that ‘everything comes at the right time to those who know how to wait’.
‘Safran remains a quality player to play in the recovery of air traffic and even if the spread of Omicron presents a risk in the short term, we believe that the variant will not affect the recovery that is looming over the coming years. ‘, writes Berenberg in the study.
However, the broker explains that it prefers to lower its earnings estimates due to the appearance of the coronavirus mutation, now counting on a later recovery than previously anticipated.
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