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Mixed Outlook for Capgemini SE: Solid Performance Overshadowed by Margin Decline and Restructuring Concerns

Mixed Outlook for Capgemini SE: Solid Performance Overshadowed by Margin Decline and Restructuring Concerns

Jefferies analyst Charles Brennan has maintained their neutral stance on 0HAZ stock, giving a Hold rating on August 2.

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Charles Brennan’s rating is based on several factors that present a mixed outlook for Capgemini SE. While the company has shown solid performance with improving growth and announced a new share buyback, there are underlying concerns that temper enthusiasm. Specifically, the decline in gross margins and increased restructuring efforts raise questions about the company’s adaptability in an AI-driven market.
Additionally, although the valuation multiple is not demanding, it is not particularly attractive for a company experiencing low growth. These factors combined lead to a Hold rating, with a revised price target of €134, indicating a cautious stance on the stock’s future performance.

In another report released on August 2, TR | OpenAI – 4o also downgraded the stock to a Hold with a €132.00 price target.

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