Analyst Note| Andreea Matysiak |
Orange reported second-quarter results roughly in line with our expectations. ITQ revenue declined by a low 0.4%, due to pandemic negative effects on roaming and equipment sales. Lower revenue, health cost measures, and bad debt provisions caused a 2% decline in adjusted EBITDA. We maintain our fair value estimate at EUR 16 and narrow moat. We believe the shares are undervalued.