Jefferies initiates Fugro with 'buy' on offshore wind enthusiasm

Fugro NV

09/01/2024 11:43

** Jefferies starts coverage of global market leader in
geo-data company Fugro  FUGR.AS  with "buy" rating, the
brokerage being very optimistic on the offshore wind sector in
2024 and company's 2027 guidance
    ** It sees the Dutch deep-sea energy prospector well
positioned to benefit from further growth of c.30% per annum in
offshore wind capex until FY27 
    ** The brokerage also notes company's positive guidance by
2027, with targeted revenues about 50% higher at EUR 3.0-3.5
billion euro ($3.28-3.83 billion), leading to an EBIT margin at
11%-15% (vs 10% for FY23 for reference)
    ** "Fugro shares increased 55% in FY23 (albeit from a low
base), outperforming peers by 32%," says Jefferies in a note
    ** Jefferies initiates the stock with a EUR 22.5 target
price, adding it sees a 35% upside 
    ** All of the eight analysts that cover Fugro rate the stock
"strong buy" or "buy"​


($1 = 0.9148 euros)

 (Reporting Clement Martinot)
 ((Clement.martinot@tr.com))