With M&A on a roll, JPM ups Stroeer and JCDecaux

Jcdecaux SE

15/01/2025 07:24

** J.P.Morgan says a renewed M&A action in outdoor
advertising signals a turning point for a subsector long
sidelined by investors 
    ** It notes the Clear Channel deal to sell its Europe-North
segment and a confirmation from Stroeer  SAXG.DE  of PE interest
in its core outdoor biz
    ** "There is now increasing evidence of the strategic
external interest that Outdoor assets start to generate - which
demands a re-evaluation of the sector" - JPM
    ** Despite Stroeer's shares already jumping 20%, JPM sees at
least another 20% upside and upgrades it to "overweight" from
"neutral" with a 15.8% increase in PT to EUR 66
    ** Stroeer's stock rises 1.7% in early Frankfurt trade
    ** Broker also sees JCDecaux  JCDX.PA  as "vulnerable" to
M&A or a buyout at its current share price, and upgrades the
stock to "neutral" after 2-1/2 years of being "underweight" 

 (Reporting by Jakob Van Calster)
 ((Jakob.vancalster@thomsonreuters.com))