EDENRED (+) : A cleaner slate

Research evidence excerpt

EDENRED (+) : A cleaner slate

EQUITIES

BUSINESS SERVICES

EDENRED OUTPERFORMPRICE* EUR21.6  TARGET PRICE EUR30 (UPSIDE 39%)

A cleaner slate

EDEN shares are up 18% YTD as regulatory resets in Italy/Brazil seem fully factored into consensus21 MAY 2026

Securities Research Report estimates. There could even be upside to group guidance driven by milder implementation of the

Production time: 05:21* (London time)

new rules in Brazil, fee renegotiations, and cost savings. We stand 10% above cons. on FY26 net

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profit, while valuation remains low in both relative and absolute terms. We keep our Outperform.

Mourad Lahmidi

BNP Paribas SA What could go right?(+33) 1 42 99 50 63

mourad.lahmidi@bnpparibas.com The regulatory resets in Italy and Brazil have started flowing through the group’s P&L and should

translate into profit contraction this year. That said, management guidance for 2026 seems to reflect

a worst-case scenario and does not factor in several offsets in Brazil including: 1) a more favourable

implementation of the interoperability; 2) employers’ fee renegotiations; 3) cost savings benefits.

Underlying drivers still solid

Excluding regulatory resets, LFL growth has remained solid, tracking in the high single digit range

over the past three quarters as the group continues to roll out its growth roadmap underpinned by

SME gains, cross-sell and user monetization. In addition, the 25% legal face value uplifts in Belgium

and Italy provide strong support for future growth in these two large markets. Finally, the regulatory

risk now looks low as 1) France’s prospective law should be a net positive and 2) the Meal & Food

business is much less concentrated outside of the top 3 countries.

The risk/reward looks attractive