Nordic Paper Holding (Buy, TP: SEK42.00) - Healthy earnings outlook remains
Although we believe earnings will weaken in the coming quarters on softer prices in combination with higher wood fibre prices costs, in our view the company should be able to maintain healthy 2024–2025e earnings that translate into very low valuation multiples. As a result of weaker prices over costs, we have cut our EBITDA for 2023e by 8% and 2024e by 5%. We reiterate our BUY but have cut our target price to SEK42 (50), reflecting our negative revisions and the cash distribution to shareholders in late May (SEK4.65).
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.