Assa Abloy (Sell, TP: SEK155.00) - Whiff of change
We believe underlying demand has changed little since Q3, with organic sales growth of 4% YOY in Q4e, and an EBIT margin of 16.8% (up 30bp YOY) helped by price increases coming through (results due on 6 February). Despite less uncertainty after CEO Molin’s successor was announced, we reiterate our SELL recommendation and SEK155 target price as high valuations are damping M&A activity, implying poor risk/reward to the 2018e EV/EBIT of 16.4x, we believe.
DNB Markets is the investment banking arm of DNB Bank ASA and is focused primarily on the Nordic region, as well as internationally on niches such as global shipping, energy and related services, and seafood. DNB Markets offers services in FICC, Equities and Investment Banking advisory from offices in Oslo, Stockholm, London, Singapore and New York. Equity research coverage is offered on c250 Nordic companies. DNB was ranked no.2 in Extel Nordic Research 2017. The DNB Markets’ Credit and FICC Macro & FX Research teams are repeatedly highly rated by Prospera Nordic Institutional Investor Surveys.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.