Barclays ups Accor on 'unjustified' discount to peers
** Barclays raises French hotel group Accor ACCP.PA to "overweight" from "equal weight", saying the stock's underperformance vs peers over the past year is "unjustified"
** The shares, which have gained 12% YTD, rise 2.5% by 0809 GMT
** The broker says risks in France have been overplayed, given the around 19% revenue exposure, while pointing to attractive exposures to Middle East and Asia-Pacific (ex-China)
** It sees an attractive entry point for the long term, noting Accor trades at a 34% discount to IHG IHG.L and below its own historical average, based on the 2024 EV/EBITDA estimate
** There is considerable share rerating potential over the next 1-2 years if the management can deliver on its EBITDA plan and cash returns, it adds
** Out of 19 analysts that cover Accor, 17 rate the stock "strong buy" or "buy", and two "hold"
Reporting by Clement Martinot
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