OMER S.p.a.: Promising Growth Driven by Alstom’s Train Programs and Strategic Market Expansion

Davide Longo, an analyst from TP ICAP MIDCAP, reiterated the Buy rating on OMER S.p.a.. The associated price target is €6.00.

Davide Longo has given his Buy rating due to a combination of factors that highlight OMER S.p.a.’s promising growth prospects. The acceleration of Alstom’s RER NG and Coradia train programs, particularly in France, suggests a robust growth trajectory for OMER, with a significant focus on the French market and a developing pipeline in the United States. The increased order intake and revenue growth reported by Alstom, especially the additional 96 commuter trains ordered, provide OMER with solid revenue visibility for the next two to three years.
Furthermore, the stabilization of production processes and expansion of industrial capacity in France are expected to enhance OMER’s revenue acceleration. Despite a mixed situation in Germany, the strategic importance of Alstom’s French site, which constitutes a significant portion of OMER’s volumes, remains a key factor. The normalization of the supply chain, following previous disruptions, creates a favorable environment for OMER. These elements collectively reinforce the growth scenario for OMER, justifying the Buy recommendation with a target price of €6.0.