LDC gains more than 3% in Paris as Oddo BHF confirms this morning its 'outperform' rating on the stock, with a price target raised from 140 to 178 euros.

On the basis of previously announced H1 2023/24 sales of 3,022.3 ME (+10.2% of which 8.2% organic), LDC reported a 60% increase in ROC to 193.4 ME.

This is well above our forecast of 163.5 ME, implying a strong margin increase of 200 bp to 6.4%", says Oddo BHF, which points out that this figure reflects strong growth in the profitability of the Poultry France division, up 50% to 155.6 ME.

LDC confirms its 2023/24 sales target of over 6 Bn E, and is now targeting an OIR of 350 ME.

' The share price should react well to this publication. The consensus is likely to raise its forecasts by at least 4%. For our part, our EPS forecasts for 2023/24 and 2024/25 have been raised by 11% and 10% respectively", concludes the analyst.


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