EIFFAGE : Oddo BHF confirms its recommendation on the share
May 15, 2024 at 06:55 pm IST
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Oddo BHF maintains its 'outperform' rating on Eiffage shares, with an unchanged target price of 125 euros, following the publication of the French group's quarterly results.
Last night, Eiffage reported Q1 2024 sales of €5,189 million, up 1.7% lfl and 4.9% in reported terms, in line with Oddo BHF's expectations (€5.1 billion).
The Group expects a further increase in operating profit in Works, supported by Energie Systèmes, while Concessions will be impacted by the new infrastructure tax.
'NR is expected to be in line with 2023. For 2024, we expect sales of 22,230 ME (consensus 22,860 ME) and operating profit of 2,513 ME (consensus 2,452 ME)', stresses the analyst, who believes that Eiffage looks 'attractive at this price level' given a certain easing of long rates and the end of the 'bad buzz' on freeways.
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Eiffage S.A. is the No. 5 European group of building and civil engineering works and concessions. Net sales break down by activity as follows:
- construction and maintenance of transportation and civil engineering infrastructures (37.3%): roads, motorways, bridges, railways, etc. The group also produces and markets granulates, coatings, and binders;
- design, execution, and maintenance of electrical, climate-control, and mechanical engineering facilities (26.3%);
- building construction and renovation (18.9%): residences, offices, shopping centers, parking lots, stadiums, prisons, hospitals, etc. Eiffage S.A. also develops and sells real estate;
- construction and concession management of infrastructures and works of art (17.4%);
- other (0.1%).
Net sales are distributed geographically as follows: France (73.3%), Europe (24.6%) and other (2.1%).
EIFFAGE S.A. 
