Citigroup: Alstom's preliminary outlook falls short of expectations, target price lowered.

Citigroup analyst Martin Wilkie stated in a research report that Alstom's preliminary outlook is below expectations, especially the free cash flow for the first half of the fiscal year 2027. The company has indicated that it expects positive free cash flow for this fiscal year. Wilkie said that investors had earlier been concerned this month that new CEO Martin Sion would retract performance outlook. Therefore, Citigroup lowered its expectations, assuming that Alstom will achieve 700 million euros of free cash flow in fiscal year 2029 instead of fiscal year 2027. Wilkie added that the delay in free cash flow recovery is the main reason for lowering its target price from 31 euros to 28 euros. He also added that the company's stock price is expected to react negatively.