(Finance) – Equity has the target price confirmed at 2.7 euros per share and at “Buy” the judgment on Cairo Communication, a group listed on Euronext STAR Milan and active in publishing and communication. The review came after the company released its results for the first half of 2022 and analysts remain positive on the stock for a variety of reasons: Adv & Sport it is showing its growth potential (Giro d’Italia in primis) and should record further improvements in the coming years; despite the uncertain prospects due to the inflationary scenario on opex and the conflict in Ukraine, the company confirmed its guidance flat adjusted EBITDA for 2022; the agreement with Blackstone on litigation Immobiliare di Via Solferino removes potential risks from a lawsuit in RCS; the perspective on dividends it is positive.
Analysts have basically confirmed the Adjusted EBITDA target for 2022E, but with a different mix. “We have reduced the Cairo standalone contribution from 27 to 21 million (lower estimates for La7 and magazines), while RCS’s 2022 Adjusted EBITDA is essentially unchanged at 146 million euros – reads the research – We have improved expectations on Adv & Sport (higher contributions from Sporting Events) and from Spain, offsetting a weaker performance expected from Media Italia (newspapers + magazines) due to higher paper and energy costs“.