Vinci
Ready for take-off; PT to EUR76
Investors tend to see Vinci as a robust but mature defensive cash cow. However, we
believe expansion could gather pace and prove more dynamic than most think. We
see four areas of potential positive surprises: (1) traffic momentum; (2) inorganic
deals in airports; (3) a new motorways stimulus package; and (4) the construction
recovery. These are free options and could add EUR12 to our valuation. We raise our
estimates by 3% and lift our PT to EUR76; Vinci is our new sector top pick.