Morgan Stanley analyst Omar Sheikh lowered the firm’s price target on Ubisoft to EUR 33 from EUR 52 and keeps an Overweight rating on the shares. The analyst states that after the company’s FY23 profit warning due to shifting consumer preferences for "mega-brands", he expects consensus FY24 EPS to drop about 30%. Sheikh adds that with virtually no chance that investors will price in an M&A premium in the near term, he expects Ubisoft shares to pull back by 20% or more in response to the news.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Published first on TheFly
See today’s best-performing stocks on TipRanks >>
Read More on UBSFY:
- Ubisoft unveils revenue growth measures, cancels three unannounced projects
- Ubisoft cuts Q3 net bookings view to EUR725M from EUR830M
- Ubisoft cuts FY23 operating income view to (EUR500M) from EUR400M
- Ubisoft sees FY23 operating income in the red, Bloomberg says
- Ubisoft resumed with Hold from Buy at Societe Generale