Deutsche Bank lifts eDreams ODIGEO price target to EUR11.50

Published 04/02/2025, 10:18
Deutsche Bank lifts eDreams ODIGEO price target to EUR11.50

On Tuesday, Deutsche Bank (ETR:DBKGn) analysts increased their price target on eDreams ODIGEO SA (EDR:SM) shares to EUR11.50 from the previous EUR8.30, while maintaining a Buy rating on the stock. The adjustment follows eDreams ODIGEO’s recent Capital Markets Day held in Barcelona on the past Friday. Analysts expressed optimism regarding the company’s growth prospects, particularly highlighting the potential of its Prime subscription product.

The Capital Markets Day presentation showcased eDreams ODIGEO’s expanded offerings, which now include more competitively-priced hotel options alongside its flight services. Analysts believe this enhancement could serve as a stronger incentive for subscribers to maintain their memberships. The company’s strategy aims to provide a more comprehensive travel solution, thereby increasing the value proposition to its customers.

Deutsche Bank’s analysts are confident in eDreams ODIGEO’s financial outlook, positioning themselves at the higher end of the company’s cash EBITDA guidance for the fiscal year 2026, which ends in March. They forecast a cash EBITDA of approximately EUR219 million, representing an increase of around 21% year-over-year and equating to roughly 28% margins.

The positive assessment from Deutsche Bank underscores the travel technology company’s efforts to innovate and expand its services. eDreams ODIGEO’s focus on enhancing its Prime subscription product with additional hotel offerings could potentially lead to increased customer retention and a stronger market position.

Investors will be watching closely to see if the company’s performance aligns with Deutsche Bank’s expectations, as eDreams ODIGEO continues to navigate the competitive travel industry landscape. The raised price target suggests a favorable outlook for the company’s shares in the near term.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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