Stifel raises its recommendation on SGS from 'sell' to 'hold', with a price target raised from 66 to 73 Swiss francs, stating that it 'views positively the change in management with the appointment of Géraldine Picaud as the Group's new CEO (as of March 26)'.

The broker added: "Performance in the second half of 2023 and the outlook for 2024 imply a level of short-term profitability below consensus expectations, but estimates have been de-risked as management has unveiled cautious targets.

Noting, however, the share's already vigorous reaction to last week's announcements, Stifel prefers to remain cautious at this stage on the dossier, where certain uncertainties limit visibility, and continues to judge the valuation unattractive.

Copyright (c) 2024 CercleFinance.com. All rights reserved.
The information and analyses published by Cercle Finance are intended solely as a decision-making aid for investors. Cercle Finance cannot be held responsible, directly or indirectly, for the use of information and analyses by readers. Uninformed investors are advised to consult a professional advisor before investing. This information does not constitute an invitation to sell or a solicitation to buy.