(CercleFinance.com) – With a jump that has reached close to 59% since January 1, Thales shares seem set to post the best performance of the CAC 40 index in 2022, far ahead of TotalEnergies, which posted a annual gain of around 32%.
A spectacular surge that essentially materialized at the end of February, when the outbreak of the war in Ukraine had prompted investors to rush into defense stocks in the context of increased spending armaments in Europe.
This paradigm shift had also led AlphaValue to raise their recommendation on the title to ‘accumulate’, analysts seeing an opportunity to strengthen the value.
The Parisian design office then explained that it considered the French group as a solid shield from the perspective of a possible recession, knowing that the military budgets of the NATO states were called upon to increase.
But some professionals point out that Thales was already showing one of the strongest growths among defense players and that the outbreak of a war on Europe’s doorstep served only as a catalyst for the rebound in its share price. of Stock Exchange.
Beyond the trend towards recovery in military spending in Europe, Goldman Sachs believes that the defense electronics industry is also in a position to benefit from the recovery in air traffic and the strength of the aerospace market.
The Wall Street firm thus resumed coverage of the title to ‘buy’ this summer, with a price target of 146 euros, which still shows an upside potential of 22% at current levels.
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