Teleperformance gains nearly 3% in Paris, after last night's publication of sales of 1989 ME (-3.3% on a reported basis), a figure slightly below expectations (Oddo had forecast sales of 2054 ME; the consensus was 2056 ME). On a like-for-like basis, sales rose by +3.1%.

Against this backdrop, Oddo BHF this morning maintained its 'outperform' rating on Teleperformance shares, with an unchanged target price of 238 euros.

The broker points out that Teleperformance's management is now targeting organic growth of around 6% excluding COVID at constant exchange rates (which is already in line with Oddo BHF's expectations), compared with between 6% and 8% in the previous estimate. However, the 2023 EBITA target remains unchanged at around 16%.

The analyst considers the quarterly performance to be 'mixed', and believes that it seems to represent a low point, with Q4 likely to be a little better oriented.

Organic growth in 2024 nevertheless remains uncertain, so that the Group's revaluation should be a medium-term process", concludes the broker, before adding that Teleperformance remains an undeniable "Value" profile, with a valuation of 6.7x EV/EBITA 2024.

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