Saipem SpA : Price target raised
 |
09/12/2012 | 03:56am
Opinion : Bullish above 39.8 EUR
Target price : 44 EUR Potential: 16.34%
Stop loss: 38.25 EUR
|
ITALIAN STOCK EXCHANGE
Oil Related Services / Equipment |
Saipem S.p.A. offers construction and offshore and onshore drilling services. The Company installs sub-sea pipelines, installs fixed platforms, manages complete onshore construction projects, and drills for oil mainly in Italy, Algeria, Nigeria, and the Arabian Peninsula.
Today analysts from Morgan Stanley have raised the target price to EUR 57 vs EUR 50, leading to be very confident on offshore growth. Saipem has reported for the first six months of the year a revenue growth, with a rate over than 6%. The same trend has been followed by earnings per share (+8%).
Since July, the share is trading in neutral range between EUR 36.8 and EUR 39. The share has difficulties to break out the historic high of EUR 39.65. In weekly data moving averages are moving around key level, which could give power to break out the upper band of range. In this case we suggest a long position on the stock in order to aim new highs in the area of EUR 44, average consensus.
 |
|
Copyright (c) 2013 4-Traders.com |
Disclaimer : 4-Traders.com is not registered as a securities broker-dealer or investment adviser with any jurisdiction and is not providing any personalized financial, investment or tax advice. 4-Traders cannot assess or guarantee the suitability of any particular investment to any personal situation. Accordingly, you bear complete responsibility for your own investment, financial, and tax research and decisions and should seek the advice of a qualified professional prior to making any decisions based on 4-Traders' website information. This article is provided solely for informational purposes, and does not constitute an offer or solicitation to buy or sell any securities. All opinions expressed and information and data provided therein are subject to change without notice.
|
|
|
|
|
Valuation |
2013e |
2014e |
|
PER (Price / EPS)
|
21,7x |
14,0x |
|
Capitalization / Revenue
|
0,69x |
0,68x |
|
EV / Revenue
|
1,02x |
0,93x |
|
EV / EBITDA
|
8,93x |
6,66x |
|
Yield (DPS / Price)
|
1,60% |
2,46% |
| Profitability |
2013e |
2014e |
|
Operating Margin (EBIT / Sales)
|
5,71% |
8,22% |
|
operating laverage (Delta EBIT / Delta Sales)
|
- |
22,5x |
|
Net Margin (Net Profit / Revenue)
|
3,31% |
5,00% |
|
ROA (Net Profit / Asset)
|
5,39% |
4,32% |
|
ROE (Net Profit / Equities)
|
7,88% |
11,6% |
|
Rate of Dividend
|
34,7% |
34,4% |
|
|
|
