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Edison Investment Research Limited
London, UK, 2 November 2021
Borussia Dortmund (BVB): The roar of the fans Borussia Dortmund has an established track record as one of the most successful football clubs in Europe. This enables it to exploit structural tailwinds, increasing global and multi-media coverage, to drive long-term revenue growth. FY21 was a challenging year financially due to the negative effects of COVID-19 related restrictions, but the team was relatively successful including winning major silverware and guaranteed participation in the financially lucrative Champions League in FY22. The phased return of fans to the stadium through FY22 should lead to better financial results. The share price weakness has led to it trading at recent low multiples and well below our sum-of-the-parts valuation of €11.56/share.
The share price has been weak due to uncertainties around the effects of COVID-19 restrictions and the recent equity raise. This has resulted in the share price trading at an FY22e EV/sales of 1.4x, which is below its long-term average of 1.6x, and a little above its own recent low multiples (1.0-1.3x). It continues to trade at a significant discount of 59% to our asset-backed sum-of-the-parts of €11.56/share.
All reports published by Edison are available to download free of charge from its website About Edison: Edison is a leading research and investor relations consultancy, connecting listed companies to the widest pool of global investors. By focusing on the volume and quality of investors reached - across institutions, family offices, wealth managers and retail investors - Edison can create and gauge intent to purchase, even in the darkest pools of capital, and then make introductions via non-deal roadshows, events or virtual meetings. Having been the first in-market 17 years ago, Edison now has more than 100 analysts covering every economic sector. Headquartered in London, Edison also has offices in New York, Frankfurt, Amsterdam and Tel Aviv and a presence in Athens, Johannesburg and Sydney. Edison is authorised and regulated by the . Edison is not an adviser or broker-dealer and does not provide investment advice. Edison's reports are not solicitations to buy or sell any securities. For more information, please contact Edison: Russell Pointon +44 (0)20 3077 5700 Richard Finch +44 (0)20 3077 5700 Learn more at and connect with Edison on: YouTube
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1245201 02-Nov-2021
