Shares of toll road operator Atlas Arteria (ASX:ALX) fell by as much as 2.2% to A$5.31 after analysts at Macquarie lower the price target on the company to A$5.39 from A$5.44, while maintaining the ‘neutral’ rating.

The company is currently facing challenges regarding taxes imposed by France, where it operates major toll roads, in their new budget.

Macquarie warns that the company’s dividend will not be sustainable without winning this French constitutional challenge.

Earnings estimates for the company have been lowered by 4.6%, 3.9%, and 3.2% for CY24, CY25, and CY26 respectively.

The stock has experienced a 6.1% decline this year, as of the last close.

Atlas Arteria (ASX:ALX) is a company that operates toll roads in several countries.