Berenberg Initiates European Contractor/ Infrastructure Sector with Positive Stance
- believes the sector's continued outperformance will gather momentum as the earnings outlook improves
- notes increased profitability and cash flow generation will drive returns
- thinks valuation is attractive with upside on an absolute basis
- Initiates with Buy rating on ACS.ES, BBY.UK, FER.ES, and ABS2.DE
- Initiates with Hold rating on EN.FR, CLLN.UK, FGR.FR, and HOT.DE
- FER.ES mentioned as top pick in the sector
- DG.FR Price Target raised to €74 from €60, reiterates Buy rating