Saint-Gobain Group

Improved recent trends after a challenging first half

  • Sectors : Building products
  • Companies : Saint-Gobain Group

Ratings and price correct at time of issue.

  • Saint-Gobain Group

    Closing Price: 3225c

  • RATING 08/07/20

  • PREVIOUS RATING 09/01/19



Saint-Gobain’s (SGO) H1 results were slightly ahead of market estimates. The group saw EBIT halve in the period despite a raft of accelerated cost measures, government help on employee costs and a supportive price-cost spread. June sales figures are better (+3.7% yoy), although two extra trading days are inflating that figure. Good cash generation and new cost measures help, while guidance (H2 sharply better than H1) is already reflected in estimates. The stock has done well but with upgrades unlikely and visibility low, we believe it is up with events.

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Jul 31 2020, 06:55 IST/BST