Kinnevik (Buy, TP: SEK105.00) - Needs to reverse NAV decline
Kinnevik’s Q3 was yet another disappointment, mainly due to the write-down of its entire SEK1.1bn stake in VillageMD. Negative sentiment towards the stock is unlikely to change near-term in our view in the absence of NAV growth or potential share buybacks, and we note low market expectations ahead of the CMD, scheduled for 23 October. We have cut our target price to SEK105 (110), reflecting our new NAV estimate, but reiterate our BUY as we view the ‘core growth companies’ as attractively valued at a 44% discount to reported NAV, as we highlighted in our recent portfolio deep dive.
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.