Axactor (Hold, TP: NOK5.50) - Funding headwinds
We forecast Q3 pre-tax profit of EUR12.9m (report due at c07:00 CET on 27 October), with still-strong sequential investment momentum, despite seasonality in acquisitions. We expect gross collections to be up by 14% YOY (adjusted for the discontinued REO segment), driven by continued growth in estimated remaining collections (ERC) and an improved collection performance. The sharp rise in interest rates is likely to increase pressure on group earnings going forward, with eurozone rates finally in positive territory. We have cut our 2023–2024e EPS by c15% and our target price to NOK5.5 (7.8), but reiterate our HOLD.
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.