As we said yesterday with the final results, after a turbulent 2015 both in terms of Aviation operations and management change, Menzies needs a period of stability. We retain our forecasts for FY16 and FY17 and increase our target price to 457p (10x FY16 EPS) from 384p on the basis that FY16 should be a calmer period. Risks remain in terms of rediscovering Aviation’s operational excellence and offsetting cost headwinds in Distribution, but essentially we feel that value can be created if the shi ....
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Forecasts retained; period of stability required
- Published:
09 Mar 2016 -
Author:
Jon Lienard -
Pages:
3
As we said yesterday with the final results, after a turbulent 2015 both in terms of Aviation operations and management change, Menzies needs a period of stability. We retain our forecasts for FY16 and FY17 and increase our target price to 457p (10x FY16 EPS) from 384p on the basis that FY16 should be a calmer period. Risks remain in terms of rediscovering Aviation’s operational excellence and offsetting cost headwinds in Distribution, but essentially we feel that value can be created if the shi ....