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Companies >
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Industrials - Specialty & Parts >
Vallourec >
Research >
Another tough year ahead

  • 14 May 2020

Another tough year ahead


Vallourec (VK:EPA) | 0 0 1.1% | Mkt Cap: 2,202m


  • AlphaValue
    • Fabrice Farigoule

    • 2 pages

Industrials - Specialty & Parts image


 
Industrials - Specialty & Parts image


Q1 20 revenues were in line but the outlook is quite uncertain with the combination of the pandemic and very low oil prices (the former accelerating the latter). Cash is needed to avoid breaching covenants given the negative free cash flow we expect for the full year, which explains why the group intends to proceed with the €800m capital increase as soon as market conditions allow. We expect the share price to remain volatile.


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See all the research we have on this company.

Another tough year ahead


Vallourec (VK:EPA) | 0 0 1.1% | Mkt Cap: 2,202m


  • Published: 14 May 2020
  • Author: Fabrice Farigoule
  • Pages: 2
  • AlphaValue


Q1 20 revenues were in line but the outlook is quite uncertain with the combination of the pandemic and very low oil prices (the former accelerating the latter). Cash is needed to avoid breaching covenants given the negative free cash flow we expect for the full year, which explains why the group intends to proceed with the €800m capital increase as soon as market conditions allow. We expect the share price to remain volatile.



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