LONDON (ShareCast) - (Sharecast News) - Analysts at Canaccord Genuity raised their target price on underwater technologies and support services group Ashtead Technology from 375.0p to 400.0p on Monday following the firm's "strong close" to 2022.
Canaccord Genuity's heightened target price comes after Ashtead Technology announced full-year revenues were likely to be £72.5m, with margins to be ahead of market consensus, and an already-strong first-half performance.

The Canadian bank said trading was good in the fourth quarter, in both oil and gas and offshore wind, and noted that strong volume meant that there had been less of the traditional "winter price softness" than normal.

"We note that despite the acquisitions made in 2022, Ashtead Technology will close the year with greater debt facilities than it started, thanks to the additional arrangements put in following the acquisition of Hiretech; on our new forecasts we estimate the group will average 0.9x net debt/EBITDA through 2023E, which we continue to regard as conservative," said Canaccord, which reiterated its 'buy' rating on the stock.

"We are making minor adjustments to our forecasts following the trading statement - we were already at the upper end of the consensus range - with the result that our EPS is lifted 10% for 2022E and 4% for 2023E and beyond."







Reporting by Iain Gilbert at Sharecast.com

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