Accor's share price rose by almost 2.5% at the end of the day, as Jefferies raised its recommendation from 'underperform' to 'buy', with a price target raised from 30 to 47 euros. The analyst now favors the stock over its British peer Intercontinental Hotels, downgraded to 'hold'.

While the capital allocation policy has been 'simplified', the broker now sees 'a clear growth and profitability trajectory, and clarity on shareholder returns' for the French hotel chain.

Jefferies sees further upside for the stock as the valuation gap with Intercontinental Hotels narrows, with an EV/EBITDA discount of 30% versus 14% historically, despite a stronger RevPAR environment.

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