Liberty Global A, the Communication Services sector company, was revisited by a Wall Street analyst yesterday. Analyst Terence Tsui from Morgan Stanley maintained a Hold rating on the stock and has a $13.00 price target.
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Terence Tsui has given his Hold rating due to a combination of factors related to Liberty Global’s strategic plans and financial outlook. The company has a history of successfully unlocking value through strategic actions, such as spin-offs and IPOs, which management believes could address the conglomerate discount in its share price. However, the ability to generate free cash flow remains uncertain, particularly in light of the ongoing technology upgrade cycle.
Additionally, while the updated financial model reflects a slight improvement in revenue and EBITDA forecasts, the valuation remains less attractive compared to European peers. The projected unlevered free cash flow yield for 2026 is lower than that of other incumbents, which contributes to the cautious stance. As a result, despite the potential for strategic transactions in the next 12-24 months, the overall outlook leads to a Hold recommendation.
According to TipRanks, Tsui is a 3-star analyst with an average return of 4.2% and a 58.33% success rate. Tsui covers the Services sector, focusing on stocks such as Elisa Corporation, Telefonaktiebolaget LM Ericsson Class B, and NOS SGPS.
In another report released on August 19, TR | OpenAI – 4o also reiterated a Hold rating on the stock with a $12.50 price target.