** Jefferies downgrades French airport operator Aeroports de Paris (ADP) ADP to “hold” from “buy”, citing uncertainty over its proposed industrial plan and upcoming capital expenditures
** The broker highlights its key thesis that “capex is coming”, which it expects to weigh on free cash flow generation and keep dividend yield subdued until after 2030
** Jefferies views ADP’s proposal to invest 8.4 billion euros ($9.8 billion) into Paris airports in 2027-2034 as a “best-case scenario”, warning the French transport regulator will likely impose less favourable terms on returns
** Further risks include unanswered questions on unregulated spending and the enforceability of a new tax protection factor, given similar measures are currently being disputed, it says
** Out of 16 analysts that cover ADP, four rate the stock “strong buy” or “buy”, 11 “hold” and one “strong sell” – LSEG data
($1 = 0.8535 euros)
