Safran: Defence: Increasing Strategic Relevance Within the Group

研报英文原文证据摘录

Safran: Defence: Increasing Strategic Relevance Within the Group

Equity Research

European Aerospace & Defence

9 June 2026

Safran

Defence: Increasing Strategic

Relevance Within the Group Company Update

Safran remains a commercial aerospace-driven compounder, SAF.PA/SAF FP OVERWEIGHT

NEUTRALbut Defence is now increasingly material; enhancing earnings EuropeanDefence Aerospace &

visibility and reducing macro cyclicality. Montluçon visit Price Target EUR 330.00

confirms strong positioning in high-value Defence products Price (08-Jun-26) EUR 294.50 Potential Upside/Downside +12.1%

Source: Bloomberg, Barclays Researchwith visible ramp-up.

Safran’s investment case remains anchored in its commercial aerospace exposure (~80% of European Aerospace & Defence

group revenue), where the narrowbody engine franchise (CFM56/LEAP) continues to drive Milene Kerner

+33 (0)1 4458 4002structural growth, low 20s% margin at Propulsion and strong cash generation. The Montluçon

milene.kerner@barclays.com

site visit, however, highlights a material contribution from Defence (~20% of sales in total),

BBI, Paris

which is increasingly relevant for investors as it enhances earnings visibility and reduces

cyclicality. Safran Electronics & Defense is positioned on high-value, mission-critical Afonso Osorio, CFA

+44 (0)20 3134 7016technologies: navigation & timing, optronics, guided munitions, benefiting from structurally

afonso.osorio@barclays.com

rising defence budgets. While Defence does not drive the core equity story, it strengthens the

Barclays, UK

overall investment case by improving predictability and supporting the group’s

compounding profile. Luke Seelig

+44 (0)20 3134 5355

Safran Electronics & Defense: Montluçon Site Visit Takeaways: luke.seelig@barclays.com