The title of this world leader in the design of cryogenic membrane containment systems used for the transport and storage of liquefied natural gas has not benefited from the rebound in the markets. A turbo call allows you to bet on your catch with leverage.
With a drop of 4% over one month despite an excellent performance of its turnover in the third quarter, GTT is struggling on the stock market and has absolutely not taken advantage of the tremendous rebound in the Paris market following the lifting of uncertainties political in the United States and health with the imminent arrival of vaccines. In question, the announcement by Engie, the reference shareholder of GTT with 40.4% of the capital, of its desire to withdraw from the round table of this world leader in the design of cryogenic membrane systems used for transport and LNG storage weighs on the action. Because with a capitalization of around 3 billion, GTT is not within the reach of all potentially interested industrial or financial players. Experts from the Societe Generale research office are talking about the future branch of Technip Energies once the TechnipFMC split is completed or SBM offshore but for only part of Engie’s stake. This would not give rise to the launch of a formal takeover bid for the rest of GTT’s capital. However, this pressure on the title should remain limited. First, because Engie benefits from a favorable market context so as not to sell off its stake. Then GTT has an excellent positioning on clean energies with LNG and now green hydrogen, and a very well-stocked order book representing more than 800 million in turnover to be delivered over the period 2020-2023. . Finally, with a net cash of nearly 200 million capable of being distributed, a net margin of 50% and a distribution rate of over 80% of profits, the group has rare advantages.
a leverage of 3.38 times
A turbo call allows you to bet on the backrest with leverage. The selected certificate is issued without maturity by BNP-Paribas with a security threshold of 60.72 euros below which the security must not fall. Otherwise, the certificate would immediately lose almost all of its value. The significant difference between this threshold and current share prices still limits the risk profile of the turbo. In the meantime, it has an interesting leverage of 3.38 times. So in the hypothesis of a rebound of the action to 90 euros for example, the call would appreciate by 32.2%. But conversely, it would also lose 32.2% of its value if the share ebbed to 74 euros.
Our advice: buy a GTT turbo call issued by BNP-Paribas (code: FRBNPP01UK86); term: unlimited; security threshold: 60.72 euros; level of funding: 57.82 euros; parity: 40 turbos for 1 share; price: 0.62 euro; portion: 1.