SNE - Jefferies urges buying the dip on Sony ahead of 'substantial' returns

Sony (SNE) is 0.4% higher after a bullish Jefferies highlights it as a dip-buying opportunity. Last month shares hit a 52-week high of $118.50, and have since shed about 11.5% of that. But it promises "substantial" returns in the next 3-4 years, analyst Atul Goyal says, in part due to a “best-in-class management team, business model and leadership position in high-margin duopoly/oligopoly businesses of games, image-sensors and music." So the dip is a chance to buy aggressively as there's structural growth in several businesses in the long term. Most recently it pulled off earnings growth despite most of its businesses seeing pandemic-related challenges, he writes. He has a Buy rating and a price target of ¥19,060; that marks 67% upside from its Tokyo price.

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Jefferies urges buying the dip on Sony ahead of 'substantial' returns