A significant reduction in revenue growth forecasts and net profit margin for Eutelsat Communications has led to a notable decrease in the consensus Analyst Price Target, which has fallen from €3.32 to €2.95.
What's in the News
- Eutelsat signed a major agreement with NSSLGlobal and the UK's FCDO Services to deliver OneWeb LEO connectivity to UK government operations globally, supporting diplomatic, defence, and resilience missions.
- Announced private placements totaling €879.3 million, with significant participation from French and UK government-linked entities; proceeds aimed at expanding LEO capabilities.
- Confirmed flat revenue outlook for FY 2024-25 and FY 2025-26, with anticipated 50% year-on-year growth in LEO revenues; Russian sanctions continue to impact Video business.
- Secured a landmark 10-year, up to €1 billion agreement with the French defense procurement agency to provide priority-access space resources and military-grade LEO capacity.
- Appointed Jean-François Fallacher, former Orange France CEO, as new CEO, aligning Eutelsat's leadership more closely with the telecom sector.
Valuation Changes
Summary of Valuation Changes for Eutelsat Communications
- The Consensus Analyst Price Target has significantly fallen from €3.32 to €2.95.
- The Consensus Revenue Growth forecasts for Eutelsat Communications has significantly fallen from 6.2% per annum to 3.0% per annum.
- The Net Profit Margin for Eutelsat Communications has fallen from 7.12% to 6.50%.
Disclaimer
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