JPM cuts Bureau Veritas to 'neutral' seeing slowdown in growth post-Q3

Wendel SE

02/10/2024 08:10

** J.P.Morgan cuts Bureau Veritas  BVI.PA  to "neutral" from
"overweight" as it expects the French business support group's
organic growth to ease towards its medium-term target of
mid-to-high single-digit pct growth
    ** The broker expects Q3 to be a high point for organic
growth, forecasting 11% growth for the quarter before settling
down to 7% in Q4
    ** It adds the potential for another Wendel  MWDP.PA 
placing is an overhang, with the lockup period following its
previous stake sale expiring this week; Wendel owns around 26.5%
of Bureau Veritas' shares
    ** JPM sticks to its PT of 30.60 euros, vs 29.68 euros at
Tuesday's close, and says Bureau Veritas is a "well run company
in a sub-sector benefitting from secular growth drivers"
    ** Out of 17 analysts that cover Bureau Veritas, 12 rate it
"strong buy" or "buy" and ​five "hold"

 (Reporting by Mathias de Rozario)
 ((mathias.derozario@thomsonreuters.com))