On Thursday, Jefferies reiterated its Buy recommendation on Vallourec, with a new target price of 17 euros, up from 16 euros.

In a research note issued following the publication of the French group's second-quarter results, the broker indicates that it has revised upwards its Ebitda forecast for 2023 and reduced its net debt target.

While it acknowledges that the difficulties encountered by the Pau Branco iron mine are not good news, the broker says it is pleased with the recent robustness of its tube prices.

Jefferies also praises the solid performance of its offshore and international divisions, which has enabled the Group to offset the normalization of oil tubular product prices in the United States.

The next catalyst, according to Jefferies, will be the company's investor day on September 12.

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