Trump announces 100% chip tariff as Apple ups U.S. investment
Investing.com - Morgan Stanley has resumed coverage of satellite operator SES SA (OTC:SGBAF) with an Equalweight rating and a price target of EUR7.00.
The Luxembourg-based company’s shares have declined approximately 80% from their 2015 highs, reflecting the competitive and capital-intensive nature of the satellite communications industry.
Morgan Stanley’s analysis focuses on three key areas: SES’s integration of recently acquired Intelsat, the company’s strategy to reduce leverage, and the timing of potential proceeds from clearing C-band spectrum.
The investment bank notes that SES offers steady low growth compared to competitor Eutelsat, which has greater exposure to the high-growth but competitive low Earth orbit (LEO) satellite market.
Morgan Stanley indicates that evidence of sustained free cash flow generation could lead to a more positive outlook on SES shares in the future.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.