SES Imagotag regains more losses, Stifel notes 'compelling explanations'

Vusion SA

27/06/2023 10:49

** Shares in SES Imagotag  SESL.PA  rise 20%, continuing to
recoup last week's losses, while Stifel analysts call the
management's explanations in denying Gotham City's allegations
"compelling"
    ** The French digital labels firm on Monday rejected all
allegations made in a report by hedge fund Gotham City Research
in a detailed response and held a call with the financial
community
    ** "The presentation was crystal clear, in our view, and
management's answers during the Q&A session were sufficiently
precise," Stifel says about the call held on Monday morning
    ** The brokerage adds it doesn't find Gotham's current
allegations "sufficiently robust"
    ** Stifel says Friday's 58% drop in the share price was
mainly due to Gotham's reputation as an institution that is
highly respected for its track record and methods
    ** Stifel adds accounting irregularities generate maximum
uncertainty
    ** "This provokes a 'wait and see' attitude among the
bravest, while the most risk-averse rush to get out," the
brokerage adds
    ** The stock, on track for best day in two months, tops
France's SBF 120 index  .SBF120 

 (Reporting by Michal Aleksandrowicz)
 ((michal.aleksandrowicz@tr.com))