Source: Sharecast
Berenberg said Informa's share price has "suffered" recently on investors' concerns about the potential effects of an economic downturn and US funding cuts to academia.
The German bank noted the "cyclicality and structural growth potential" of Informa's B2B events division, and assessed the impact that potential cuts to US government university funding could have on its Taylor and Francis subsidiary.
"We conclude that the B2B events sector is less cyclical than investors think, and that the impact on T&F should be limited," said Berenberg, which reiterated its 'buy' rating on the stock despite dropping its target price on the shares.
With the shares trading on a CY25 price-to-earnings ratio of 14.6x, for a 10% earnings per share compound annual growth rate over FY24-28 when including buybacks, Berenberg views Informa's current valuation as "an attractive buying opportunity".
Reporting by Iain Gilbert at Sharecast.com