Edenred makes a remarkable entry into the stock market’s flagship index

2023-06-09 17:11:00

For investors, Edenred is a rising star. The group, present in 45 countries, will enter the CAC40 on June 19, 2023, announced Thursday June 9 Euronext, which manages the Paris Stock Exchange and its flagship index.

Formerly Accor Services, Edenred was born from the split of the prepaid services activities of the hotel giant Accor, which refocused on the hotel business in 2010. Ranked 32^e rank of companies for its turnover, it will replace the media giant Vivendi on the CAC 40.

Successful diversification

The Edenred group, at the origin of the creation of the Ticket-restaurant, has succeeded in its diversification by opening up to digital technology. The company is made up of three divisions, the main of which, employee services (Ticket Restaurant, Ticket Cesu, contactless mobile payment, etc.), represents nearly two-thirds of its activity. By creating payment solutions for specific use, a niche market, Edenred has made it difficult for competitors to emerge.

Bertrand Dumazy, PDG d’Edenred, s’est dit ” iron “ of this “step in history” of the company. “It is the objective consequence of a growing interest of investors around the world for what we are doing, since the valuation and the liquidity have increased”he assured.

A very international group

The group’s activity generates a lot of cash, a positive criterion for investors. The group is a “high growth box” et “a defensive value” which has resisted the Covid particularly well, underlines Julien Richer, analyst who covers the company for the financial services company Kepler Chevreux.

Today, the group regularly raises its financial results objectives: this year it is counting on an increase in its profit “greater than 12%”. France represents only 16% of its turnover.

Since its IPO, Edenred’s market capitalization has multiplied by 5, rising from 3 billion euros in 2010 to currently 15 billion euros.