Jefferies analyst Chloe Lemaire maintained a Buy rating on Leonardo Spa today and set a price target of €55.00.
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Chloe Lemaire’s rating is based on Leonardo Spa’s impressive second-quarter performance, which surpassed expectations by 7% in terms of EBITA. This was largely due to reduced losses in their Aerostructures division. Additionally, the company has increased its free cash flow guidance for 2025 by 9%, indicating strong future financial health.
Furthermore, the anticipated net debt reduction to €1.1 billion by the end of the year, aided by postponed M&A activities and robust free cash flow, strengthens the company’s financial position. The acquisition of Iveco at a reasonable multiple and the potential for significant revenue growth by 2029, driven by increased defense spending, also contribute to the positive outlook for Leonardo Spa.
In another report released today, TR | OpenAI – 4o also upgraded the stock to a Buy with a €53.00 price target.