Silver Sunrise Euro TMT Daily: EU TMT Sector Specialist Commentary

Research evidence excerpt

Silver Sunrise Euro TMT Daily: EU TMT Sector Specialist Commentary

us guidance at CMD of €3.7-4.6bn. Current consensus is already expecting €4.89bn which is higher than

the top end of their guidance. JPMe is at €5.14bn so any indication from the company as to how their ~€1.2bn in 4Q26

revenue implied should increase sequentially in ‘27 would be a key question for the call. Even a quarterly run-rate of €1.3bn,

which would be €100m more than the 4Q26 level, would take their sales above JPMe and towards the highest estimate in the

consensus. Thus, we view these results as positive. The market, of course, is worried about the sustainability of AI-driven

spending to which the company is exposed and expectations are high. However, once the dust settles on the current market

turmoil, we expect this report to be seen as a strong set of numbers with estimates rising, thus enabling investors to return to

the stock.

2. Orange SA -Yesterday’s results underscore Orange’s operational strength. Still multiple legs to the equity story- Akhil

Dattani Read Full Note HereAgainst the backdrop of a 14% sell-off from its mid-May record highs, yesterday’s results served

as a timely reminder of the resilience of Orange’s operational performance, and why we continue to see material ongoing

upside ahead: (1) Q2 delivered another “beat and raise”. Impressively, H1 overall saw Orange report revenues +4%,

EBITDA +5% and EPS +11%, (2) We see these trends as sustainable. This implies upside risk to management’s already

ambitious 2028 CMD targets, (3) Simply taking 2028E guidance positions Orange on an enviable 11% EFCF yield. This is

before considering likely forecast upgrades, cost synergies associated with the SFR deal, and potential longer-term market

repair.