Stifel has reiterated its Hold rating with a price target of 11 euros following the announcement of the company's first-half results.
The group reported a net income of 5.9 million euros for H1 2026, compared to 7.2 million euros a year earlier. Conversely, adjusted EBITDA grew by 5.9% to 227.2 million euros, representing a 0.9-point margin improvement to 40.9%.
Stifel considers the second-quarter organic growth (+5.1%) to be in line with expectations. According to the analyst, a slowdown relative to the first quarter was anticipated given the particularly challenging year-on-year comparison base.
In its research note, Stifel points out that the EBITDA margin reached 40.9%, beating consensus by 60 basis points, driven by an improvement in gross margin to 66.8%.
The company has revised its capital expenditure guidance upward to 33-35% (from 30-32% previously). Other targets for fiscal year 2026 were confirmed.
According to Stifel, demand elasticity following price hikes and the evolution of component costs remain the key variables for the second half of the year.
OVH Groupe is the leading European cloud services provider, uniquely positioned to capitalize on the rapidly growing cloud market.
The Group provides business customers with a comprehensive suite of solutions designed to capture growing demand for multi-cloud and hybrid cloud strategies, while meeting the surging demand for data sovereignty and trusted cloud solutions.
OVH Groupe provides 1.6 million customers - composed largely of SMBs, large and tech enterprises, as well as the public sector - with a comprehensive suite of solutions in private, public and web cloud, leveraging its global network of 44 data centers, hosting over 500,000 servers across 4 continents.
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