Prysmian rises on hyperscaler deals supporting long-term growth outlook
BUZZ-Prysmian rises on hyperscaler deals supporting long-term growth outlook ** Shares in Italy's Prysmian PRY.MI rise around 2% after the cable maker announced a long-term deal worth up to €5.5 billion ($6.4 billion) to accelerate its push in the data centre market
** The 10-year agreement regards the supply of optical cables used inside data centres, as Prysmian says it is part of a broader set of deals with hyperscalers that could generate more than €10 billion in additional cumulative revenue by 2035
** "The long term 10 year agreements are a positive for the medium to long term earnings, as it will provide more certainty to margins," J.P.Morgan notes
** "The deal comes in well ahead of expectations and prior comments from management," Jefferies says, awaiting further details on near-term impact during the disclosure of the group's Q2 earnings on July 30
** Including Monday's rise, stock is up almost 50% YTD
(Enrico Sciacovelli)