Jefferies cuts Accor as core biz continues to lag
BUZZ-Jefferies cuts Accor as core biz continues to lag ** Jefferies downgrades Accor ACCP.PA to "hold" from "buy" citing the French hotel group's persistent underperformance in its core management and franchise business
** The brokerage says that while a swift recovery in the Middle East region is likely, this constructive scenario is already heavily priced into consensus expectations
** Jefferies lowers its PT by around 5% to €52 and notes that a higher risk profile leaves "little scope for a re-rating" compared to its industry peers
** On Thursday, the stock closed at €51.62, which is 0.77% below its peak price of €52
** Jefferies adds the company's luxury and lifestyle growth strategy is not yet delivering with operating performance continuously lagging behind competitors
** It anticipates limited upside ahead as operating deleverage in the Middle East could significantly weigh on earnings into 2027
** Out of 16 analysts, 14 rate Accor "strong buy"/"buy" and two "hold" - LSEG data
(Reporting by Lucie Barbier)
((Email: lucie.barbier@thomsonreuters.com))
Recent news on Accor SA
See all newsHotel group Accor lifts outlook, says French bookings remain resilient (updated)
Accor lifts outlook as Middle East rebounds
Brief: Accor Q3 Revenue Of €1.50 Billion
Europe Research Roundup: CTS Eventim, Pantheon International, Standard Chartered
Hotel groups target Syria for tourism as it rebuilds from rubble of civil war