FNM, Intesa Sanpaolo confirms Buy and target price

FNM Intesa Sanpaolo confirms Buy and target price

(Tiper Stock Exchange) – Intesa Sanpaolo confirmed a 0.66 euros per share the target price on fn extensiona company listed on Euronext Milan and active in integrated mobility in Lombardy, also reiterating the judgment to “Buy“.

Analysts write that the results for the first half of 2023 confirm that the recovery in mobility demand is underway, with motorways in line with 2019, while railways and public transport are still 10-15% lower. Sequential profit margin improvement, led by MISE, suggests some room for an update on margin guidance of the entire year in the second half.

According to Intesa, the stock continues to trade at undemanding 2023-24 EV/EBITDA multiples of 3.8x/3.4x compared to the industry average of 4.6x/3.7x. “We believe that the approval of the Economic and Financial Plan of the MISE represents an important stimulus for the stock, unlocking the value linked to the recovery of inflation (130 million euros) as well as the traffic deficit suffered during the pandemic (120 million euros) for a cumulative value of around 500 million euros”, reads the research.

Furthermore, the approval of the dividend proposed by the BoD during the last General Assembly has “restored investor confidence in the company’s market-friendly approach and improves visibility on FNM’s dividend policy for the future,” it added.

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