On Thursday, Euroland initiated coverage of the LDC share with a Buy recommendation and a price target of 164 euros, representing a potential upside of 38%.

In a research note, the research consultancy considers that the stock market valuation of the French poultry industry leader currently seems "far removed from its fundamentals".

In particular, the analyst points to "highly attractive" and discounted multiples, both in historical terms and in relation to its comparables, which in his view materialize the possibility of a revaluation.

Euroland also adds that, with average EPS and dividend growth expected to be around 5% by 2026, the stock ticks 'a number of boxes'.

'Despite a few slight points of vigilance (ESG controversy, lack of 'sexy' business, low stock liquidity), LDC undoubtedly offers a risk/return profile that leans in the right direction', it concludes.

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