(Boursier.com) — Valeo falls back by 1% to 10.85 euros, while AlphaValue analysts remain buying on the automotive supplier which achieved an EBITDA of E2.647 billion in the last financial year, up 60 basis points over one year, for a turnover of €22.044 billion, an improvement of 11% at constant scope and exchange rates. The operating margin excluding the share of results of equity-accounted companies amounts to 838 ME, or 3.8% of turnover, up 140 basis points compared to the same period in 2022 restated, reaching the guidance 2023. Valeo will submit to the vote of its shareholders, at the next General Meeting, the increase in the dividend per share to 0.40 euros per share…
For 2024, the company forecasts revenues of €22.5-23.5 billion with an Ebitda margin of 12.1% to 13.1%. Valeo plans to increase operating profit and cash generation by more than 60% between 2023 and 2025.
Forecast adjustment
But the company has revised its 2025 targets downward due to lower-than-expected growth in the automobile market and a slower-than-expected takeoff of electric vehicles. The group now anticipates a figure of 24.5 to 25.5 billion euros in 2025, compared to 27.5 billion euros previously. “We built a Move-Up strategic plan on the basis of a market which rose to 98 million cars, 98.5 to be exact in 2025. The market has changed,” declared Christophe Périllat, general manager of Valeo during the conference. presentation of results. He clarified that the new target was based on conservative assumptions in order to maintain a comfort zone.
Quoting…
Valeo’s results exceeded expectations and forecasts for 2024 imply an improvement in consensus, writes Citi… The bank says that achieving targets will be essential for the stock to rebound significantly, due to low visibility in the current macroeconomic context. For the ‘Bloomberg Intelligence’ teams, Valeo’s results are in line with expectations, and the lowered targets for 2025 reflect challenges already reported by other auto parts suppliers.
Among other opinions, SocGen has also raised its recommendation on the group to ‘buy’, targeting a price of 13.5 euros, while HSBC remains a buyer on the stock with a target price reduced to 14.50 euros. . The stock has lost more than 20% since January 1 on the Paris Stock Exchange.