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Carrefour (ENXTPA:CA): Assessing Valuation After New Retail Media Partnership With JCDecaux and Unlimitail

Simply Wall St · 2d ago

Carrefour (ENXTPA:CA) just expanded its retail media push, signing a strategic deal with JCDecaux, Carmila, and Unlimitail to build indoor and outdoor digital advertising across its shopping centres in France and Spain.

See our latest analysis for Carrefour.

That push into retail media comes as momentum has quietly improved, with a roughly 10.9% 3 month share price return and a 5.2% one year total shareholder return suggesting sentiment is slowly rebuilding around Carrefour.

If Carrefour’s retail media pivot has your attention, now could be a moment to scout other consumer facing opportunities and explore fast growing stocks with high insider ownership.

With earnings growing faster than sales, a strong five year return, and the shares still trading below some valuation estimates, investors now face a crucial question: is Carrefour an attractive opportunity today, or has the market already priced in its next phase of growth?

Most Popular Narrative: 2.8% Undervalued

With Carrefour last closing at €13.60 against a narrative fair value of €13.98, the story hinges on how margins and earnings evolve from here.

Substantial cost reduction initiatives, aiming for €1.2 billion in annual savings, combined with ongoing investments in logistics and store revamping, are designed to enhance operational efficiencies and improve net margins.

Read the complete narrative.

Want to see how small margin shifts could rewrite Carrefour’s earnings profile, revenue base, and future valuation multiple assumptions? The full narrative reveals the blueprint.

Result: Fair Value of $13.98 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, weakening French consumption and ongoing currency headwinds in Brazil and Argentina could quickly erode the margin gains that underpin this undervaluation story.

Find out about the key risks to this Carrefour narrative.

Build Your Own Carrefour Narrative

If this perspective does not fully align with your own, or you prefer independent analysis, you can build a personalised view in just minutes: Do it your way.

A great starting point for your Carrefour research is our analysis highlighting 2 key rewards and 4 important warning signs that could impact your investment decision.

Ready for your next investing move?

Carrefour may fit your strategy today, but you will miss fresh opportunities if you ignore other themes and let great setups pass you by.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.