Coca-Cola Enterprises (NYSE:CCE) Shares Should Continue on Upward Path

Citing fundamentals remaining in place, Barclays (NYSE:BCS) sees shares of Coca-Cola Enterprises (NYSE:CCE) continuing on an upward path going forward.

Barclays said, "Our FY11 EPS estimate remains $2.00 - slightly above the company's implied $1.91-$1.99 EPS guidance range. We are flowing through the shift in year-to-date earnings disclosed in today's release, which bumps our FY10 EPS estimate up to $1.78 (prior $1.76) and puts our full year estimate at the high end of management's $1.74-$1.78 range.

"What to Do With the Stock: The favorable underlying fundamentals for the business leading into 2011 should, in our view, keep CCE shares on a steady upward path. Of course, currency and European macro volatility will likely have an impact on the shares. We believe the local currency performance will be strong and our $28 price target is based on an - 8.5x EV/EBITDA multiple on FY11 EBITDA of - $1.4 billion (EV of - $11.7 billion) - a reasonable and, by no means, demanding valuation, in our opinion. Accordingly, we fully expect the shares to steadily grind up toward the very top end of our revised $24-$28 trading range (previously $23-$27)."

Barclays maintains an "Equalweight" on Coca-Cola Enterprises, which closed Monday at $25.15, down $0.10, or 0.40 percent. They have a price target of $28 on them.