BEKAERT: Evolution, not revolution, albeit with ambitious financial targets – CMD review BEKB BB
At its CMD, Bekaert’s new permanent CEO presented a strategy update which reveals a more ambitious growth agenda with upgraded financial targets for both 2021 and the medium term. We have upped our forecasts but remain below management guidance given the lack of precise savings targets and as we also are a bit cautious about a potential reversal of some of the favourable trends Bekaert has enjoyed recently, whereby raw materials availability issues are believed to have hit Bekaert’s smaller competitors. While the targets seem ambitious, we acknowledge the impressive track record of Bekaert’s renewed management team, with significant progress made on efficiency improvement and portfolio upgrade efforts, resulting in accelerated FCF generation and a strengthened balance sheet. We maintain our Accumulate rating and up our TP from € 42 to € 45.Bekaert is a global technological and market company engaged in advanced solutions based in steel wire transformation and coatings as well as an independent manufacturer of drawn steel wire products. In addition, Co. teams up with customers and suppliers globally to develop, implement, upgrade, and protect both current and future technologies. Co.'s business activities are put in practice along two main axes: Product Innovation and Process Innovation. Product Innovation helps Co. better serve its customers, while Process innovation enables Co. to increase operational effectiveness, minimizing its impact on the environment.
We are a financial services provider for several types of professional clients, each with distinct needs.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.