AnalystConsensusTarget updated the narrative for AC

Accor’s analyst price target has been revised downward by EUR 0.54 to EUR 52.01. Analysts point to modestly reduced revenue growth and fair value expectations, despite stable ratings across the Street.

Analyst Commentary

Analysts have recently updated their perspectives on Accor, citing both positive and cautious factors that affect the company’s outlook and valuation. The following summarizes key bullish and bearish takeaways from the latest research updates.

Bullish Takeaways

• Bullish analysts continue to maintain positive overall ratings, reflecting confidence in Accor’s operational resilience in a challenging environment.
• Despite minor downward revisions, upward price targets from major brokers indicate an expectation of continued revenue and earnings growth in the near to medium term.
• Strong brand positioning in the hospitality sector and sustained management execution support ongoing optimism about Accor’s long-term market value.
• The company’s proactive adaptation following recent results is seen as positive for maintaining a competitive edge and driving shareholder value over time.

Bearish Takeaways

• Bearish analysts highlight reduced visibility and uncertainty following the company’s most recent half-year results. This raises concerns about near-term performance.
• Lowered price targets from several research houses reflect a more cautious stance on valuation. These changes are tied to expectations of slower growth and potential operating headwinds.
• Downward rating adjustments signal some analysts’ concerns about the pace of recovery and execution risks within the current macroeconomic context.
• A shift from Buy to Hold ratings suggests some skepticism regarding Accor’s ability to achieve aggressive growth and profit targets amid sector volatility.

What's in the News

• Accor is considering a U.S. initial public offering of its Ennismore lifestyle hotel venture, which could be valued at several billion euros. Talks are at an early stage and may not result in a transaction (Bloomberg).
• Ennismore, the venture in question, operates over 180 hotels under brands such as The Hoxton, Mondrian, 25hours Hotels, Hyde, and Morgans Originals (Accor).
• Accor completed a share buyback program and repurchased 4,627,761 shares, representing 1.93% of its capital, for €200.01 million between April and June 2025.

Valuation Changes

• Fair Value: Lowered modestly from €52.55 to €52.01 per share, reflecting a slightly more cautious outlook.
• Discount Rate: Decreased from 9.09% to 8.92%, indicating a marginally lower risk premium applied in current valuations.
• Revenue Growth: Trimmed from 6.06% to 5.86%, which points to somewhat reduced expectations for top-line expansion.
• Net Profit Margin: Improved slightly from 10.59% to 10.65%, which suggests incremental gains in profitability estimates.
• Future P/E: Increased from 21.12x to 22.78x, which signals a higher valuation multiple being applied to projected earnings.