Analyst Chloe Lemaire of Jefferies maintained a Hold rating on Thales (0IW5 – Research Report), retaining the price target of €240.00.
Chloe Lemaire’s rating is based on a combination of factors that reflect Thales’s current market position and future prospects. The company’s pre-close comments suggest that there are no immediate concerns regarding demand in its civil activities, despite some challenges in the Space Telco and Payments sectors. The orders for the first quarter are considered solid, although they are compared to an exceptionally high level in the previous year due to significant orders like the Indonesian Rafale.
Looking forward, Thales anticipates increased demand in the defense sector, which is expected to contribute to growth from 2028 onwards. This growth is projected to last longer than previously expected, although the mid-term sales CAGR remains at 6-7%. The company is also optimistic about its Aerospace division, particularly in Avionics, which benefits from strong visibility on original equipment. However, the growth targets depend on OEMs meeting their production goals, such as Airbus’s 2025 delivery guide. These factors contribute to the Hold rating, as they present a balanced outlook of opportunities and challenges.
According to TipRanks, Lemaire is a top 25 analyst with an average return of 32.9% and an 85.37% success rate. Lemaire covers the Industrials sector, focusing on stocks such as Airbus Group SE, BAE Systems, and Rolls-Royce Holdings.