Alstom (EPA:ALO) Stock and Profitability Discussion

[Jeff Smith]

DISCLOSURE AND ADMIN NOTE: This thread is for the discussion of <ALSTOM> Stock, profitability, etc. RAILROAD.NET makes no representation or warranties as to the prospects of this stock or company; all risk is aed by investors only. Publication of insider information is punishable under law. The views expressed herein are those of the member only.

[Jeff Smith]

https://mayfieldrecorder.com/2019/07/26 ... arget.html

Alstom (EPA:ALO) Given a €48.00 Price Target at Berenberg Bank

Alstom (EPA:ALO) received a €48.00 ($55.81) price target from investment analysts at Berenberg Bank in a research report issued on Thursday, July 4th, Borsen Zeitung reports. The firm currently has a “buy” rating on the stock. Berenberg Bank’s price objective would suggest a potential upside of 22.11% from the stock’s previous close.
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[Jeff Smith]

Stock down, cash-flow impaired: FT.com

Alstom: the French train giant battling to stay on the rails
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Now, with billions of euros wiped from the group’s market capitalisation in recent weeks, chief executive Henri Poupart-Lafarge is under mounting pressure to restore confidence in a company that has more than 80,000 employees and supplies trains in markets from Australia to Saudi Arabia.
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“If Alstom had a problem, the whole of France would find itself pretty stuck,” given the company supplies most of the country’s trains and metros, said an executive at a rival manufacturer. “It can pose a major industrial risk.”
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Analysts say the 54-year-old may have no option but to sell assets. Those at JPMorgan estimated that Alstom, now valued at about €5bn, needed a cash inflow of at least €1bn in the next 12 months to preserve its investment grade status.

Moody’s rates Alstom Baa3, just a notch above junk status. After Alstom axed its cash flow projections, Moody’s cut the French industrial group’s outlook to negative and said disposals looked necessary to ensure its ratio of gross debt to core profits heads towards 3.7 over the next 12 months, from above 4.5. 
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But the problems revealed last month were from a UK contract called Aventra to build 443 electric trains. Some are already running on London’s new Elizabeth Line as well as for operators such as West Midlands Trains, but the programme has been beset by delays.
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