Barclays ups Nexans to 'overweight' citing market over-correction for GSI risks

Nexans SA

04/03/2026 07:08

** Barclays upgrades French cable manufacturer Nexans NEXS.PA to "overweight" from "equal weight", saying the stock's de-rating over-corrects for Great Sea Interconnector (GSI)  project risks

** It says the stock's discount to peers is at its widest in over four years and believes any potential project loss is "more than priced in"

** The broker sees upside from "exceptionally strong" demand in the Power Grid unit and a cyclical recovery in European buildings, which it views as overlooked by the market

** Barclays  adds a meeting with Nexans' management made them more confident with a confirmation that it is tendering for a new project and has a variable cost base, limiting under-utilisation risk from project rephasing

** Out of 16 analysts that cover Nexans, nine rate the stock "strong buy" or "buy," ​seven rate "hold" and no analysts rate the stock "strong sell" or "sell" - LSEG data

(Reporting by Mathias de Rozario in Gdansk)

((mathias.derozario@tr.com))