Temenos rises after Jefferies ups to 'buy' on new management, targets

Temenos AG

12/12/2024 08:39

** Shares in Temenos  TEMN.S  rise 6.5% after Jefferies
raises to "buy" from "hold", citing new management and targets
    ** "We see the arrival of new CEO, Jean-Pierre Brulard, and
new strategy as a welcome kick-start to a business that has
solid underlying assets but a mixed track record of execution,"
Jefferies says
    ** The broker expects "more realistic" targets and planned
higher level of investments to drive better delivery
    ** "Assuming Temenos can deliver on revised targets, we
believe the current c20% valuation discount vs peers should
close," the broker says
    ** It raises PT to CHF 72.00 from its previous target of CHF
63.00, which allowed for a 15% discount that it says is no
longer justified with reset expectations
    ** Stock set for its best day in eight months if gains hold
    ** Among the 18 analysts that cover Temenos, five rate the
stock "strong buy" or "buy," eight rate it "hold" and five
"sell" or "strong sell"
    

 (Reporting by Linda Pasquini)
 ((Linda.pasquini@thomsonreuters.com))