Deutsche Telekom: Oddo BHF upgrades stock, raises TP
(CercleFinance.com) - Oddo BHF has upgraded Deutsche Telekom shares from 'neutral' to 'outperform', with a target price raised from E27 to E35.
The analyst points to the lifting of the few fears surrounding the CMD, as well as 'several pieces of good news': the Trump effect in the US, 2027 targets with growth ahead of comparables, probable shareholder return of E34bn, as well as postponed risks (US fiber optics and competition in Germany).
Against this backdrop, we are raising our 2024/2027 estimates, with sales and EBITDAaL up 8%, EPS up 15% and FCF up 15% by 2027.
According to Oddo BHF's calculations, Deutsche Telekom should increase its dividend by 16%/year over 2024-2027 (total ~E20bn).
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The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
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.
The analyst points to the lifting of the few fears surrounding the CMD, as well as 'several pieces of good news': the Trump effect in the US, 2027 targets with growth ahead of comparables, probable shareholder return of E34bn, as well as postponed risks (US fiber optics and competition in Germany).
Against this backdrop, we are raising our 2024/2027 estimates, with sales and EBITDAaL up 8%, EPS up 15% and FCF up 15% by 2027.
According to Oddo BHF's calculations, Deutsche Telekom should increase its dividend by 16%/year over 2024-2027 (total ~E20bn).
Copyright (c) 2024 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
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.