Thales has updated its FY2019 guidance this morning and now expects an EBIT slightly below €2bn. We now believe that the timing is better for Thales since the uncertainties regarding the Gemalto integration and its guidance are wiped out. This should allow Thales to catch up after its underperformance compared to the sector, namely +5% performance ytd compared to +27% for our Aerospace & Defence coverage, especially ahead of its next CMD in October.
