(Boursier.com) — Sopra Steria signs the rise of the week on the SBF120 thanks to a gain of more than 9%. Traders hailed the accounts and guidance that exceeded the IT company’s expectations. The group reported a net profit of 247.8 ME in 2022, up 32%, for a turnover up 8.9%, exceeding 5.1 billion euros. Organic growth amounted to 7.6%, beyond the objective revised upwards to 7% last October with a 4th quarter in organic growth of 8%. The operating margin on business activity reached 8.9%, up 0.8 points compared to 2021, at the top of the target range of between 8.5% and 9%. Free cash flow was very solid at 287.2 ME, or 5.6% of sales, exceeding the announced objective (“at least 250 ME”).
Several analysts welcomed these announcements by revising their targets upwards on the file. Bryan Garnier, for example, increased his target price on the file from 208 to 243 euros while remaining on the ‘purchase’. The broker believes that the company’s guidance for 2023 is cautious, the credibility to reach 10% operating margin in 2024 is reinforced, while the acquisitions of CS and Tobania will strengthen the group’s positions in France and Belgium.
Invest Securities, for its part, raised its target price from 198 to 228 euros (‘buy’) and Oddo BHF revalued its own from 214 to 236 euros (‘outperform’).
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