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Edenred’s Mixed Q1 Performance and Confirmed Guidance Lead to Hold Rating

Jefferies analyst Hannes Leitner maintained a Hold rating on EDENRED (0MUMResearch Report) today and set a price target of €29.80.

Hannes Leitner has given his Hold rating due to a combination of factors related to Edenred’s recent financial performance and market expectations. The company’s Q1 total revenue showed a year-over-year increase of 6.7% on a like-for-like basis, reaching €724 million. However, this was slightly below the consensus expectations and Jefferies’ estimates. The revenue growth was primarily driven by the Mobility segment, which saw a notable increase, while other segments like Benefits & Rewards and Complementary Solutions showed weaker performance.
Despite the mixed segment performance, Edenred confirmed its guidance for more than 10% like-for-like EBITDA growth, which aligns with market expectations. However, the detailed EBITDA range will only be provided with the H1 results. Given the in-line results and the confirmation of guidance, Leitner anticipates a muted reaction in the stock market, leading to the Hold recommendation.

According to TipRanks, Leitner is ranked #928 out of 9350 analysts.

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