(CercleFinance.com) – Oddo believes that Stellantis’ first annual results have largely confirmed both the benefits of the merger between PSA and FCA but also the very good execution of management, as evidenced in particular by the synergies already achieved.
‘ On a financial level, this resulted in an impressive operating profit of 12.2% in H2 2021, i.e. an EBIT 25% above expectations, and an FCF in H2 of 7.2 MdE (x2 compared to expectations), in particular thanks to to the 3.2 MdE of synergies already achieved in 2021’ indicates Oddo.
‘This publication fully confirms our very positive opinion on Stellantis (OC revised upwards to E30 against E27) which remains our sector Top Pick and is also part of the list of ODDO BHF convictions’ adds the analyst.
Oddo believes that it now seems certain that the group will aim for at least a two-digit operating profit structurally and that the synergies will be revised upwards at the investor day next week (01/03).
‘Regarding the FCF, we are convinced that the further improvement in results, the control of investments and a doubtless positive WCR impact should make it possible to post an increase compared to 2021 (8.2 MdEe against 6.1 MdE)’.
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