“We reached a fair NAV/share of RON 1.03, based on our conservative SOTP approach, to which we applied a 30% discount. We thus have a target price of RON 0.72/share and an Accumulate recommendation on the stock, which prices in the country’s risk profile and the weaknesses of Fondul Proprietatea (PF) portfolio.
Our target price will move upwards, corresponding to a lower discount in the case of concrete signs of improving governmental actions related to strategic companies from FP portfolio. On the other hand, the will of investors who acquired shares on the grey market to mark their capital gains should cap the upside potential of FP shares at least on the short term.” Mihai Căruntu, Head of capital markets research department from BCR
Detailes : 2011-01-27_RO_CR_Fondul_Proprietatea