Zegona Communications (ZEG)

Sector:

Telecom Operators

 234.00p
   
  • Change Today:
      0.000p
  • 52 Week High: 246.00
  • 52 Week Low: 31.20
  • Currency: UK Pounds
  • Shares Issued: 704.15m
  • Volume: 743,815
  • Market Cap: £1,647.71m
  • RiskGrade: 74

Canaccord Genuity lowers target price on Zegona Communications

By Iain Gilbert

Date: Wednesday 12 Apr 2023

LONDON (ShareCast) - (Sharecast News) - Analysts at Canaccord Genuity slashed their target price on telecommunications investor Zegona Communications from 130.0p to 80.0p on Wednesday as it said the group was "gearing up for the next deal".
Canaccord Genuity said following 2021's successful Euskaltel stake disposal and return of proceeds to shareholders, Zegona's recent annual results led it to upgrade its forecasts. In its results, management guided to an annual opex/loss run-rate of roughly €3.0m, 10% below last year, to fund listing expenses and salaries of the team.

The Canadian bank also said Zegona's "highly experienced investment team" was continuing to screen the European telecom landscape for the next "fixer-upper" M&A deal, with outlook commentary suggesting that both the supply of M&A targets and the telecom debt funding environment had improved in recent months.

"At 54.0p the stock trades at a ~33% discount to our risk-adjusted end-2023 book value forecast of 80.0p. We are conscious of the low trading liquidity of the shares and operating losses until a new deal is consummated, but continue to see upside optionality ahead of a potential deal-related equity raise. Our new 80.0p target (down from 130.0p) implies close to 50% upside," said Canaccord, which stood by its 'buy' rating on the stock.





Reporting by Iain Gilbert at Sharecast.com

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Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

Note 2: RiskGrade figures are provided by RiskMetrics.

 

ZEG Market Data

Currency UK Pounds
Share Price 234.00p
Change Today 0.000p
% Change 0.00 %
52 Week High 246.00
52 Week Low 31.20
Volume 743,815
Shares Issued 704.15m
Market Cap £1,647.71m
RiskGrade 74

ZEG Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
49.36% below the market average49.36% below the market average49.36% below the market average49.36% below the market average49.36% below the market average
33.33% below the sector average33.33% below the sector average33.33% below the sector average33.33% below the sector average33.33% below the sector average
Price Trend
99.77% above the market average99.77% above the market average99.77% above the market average99.77% above the market average99.77% above the market average
100.00% above the sector average100.00% above the sector average100.00% above the sector average100.00% above the sector average100.00% above the sector average
Income Not Available
Growth Not Available

What The Brokers Say

Strong Buy 1
Buy 1
Neutral 0
Sell 0
Strong Sell 0
Total 2
strong_buy
Broker recommendations should not be taken as investment advice, and are provided by the authorised brokers listed on this page.

ZEG Dividends

  Latest Previous
  Interim 2nd Interim
Ex-Div 01-Jul-21 11-Feb-21
Paid 23-Jul-21 09-Mar-21
Amount 2.60p 2.20p

Trades for 23-Feb-2024

Time Volume / Share Price
16:29 12 @ 236.00p
16:29 31 @ 236.00p
16:29 97 @ 236.00p
15:49 185,000 @ 230.00p
15:49 185,000 @ 230.00p

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