Report

Portobello - Scaling to a national presence

Portobello’s unique business model, primarily the use of media barter, enables it to source branded products at extremely competitive prices for sale, in its own retail outlets and to other distributors in Italy, at a significant discount to its competitors. Management’s aspiration is to leverage this competitive advantage to grow its retail operations to national coverage over the long term, which suggests significant potential for new space from its current low market penetration versus its peers. Our discounted cash flow (DCF) based valuation of €121 indicates significant upside potential if Portobello can successfully expand across Italy.
Underlying
Portobello

Portobello SpA is an Italy-based company active in the business to consumer (B to C) industry. The Company manages an e-commerce store in addition to different retail stores. Its offering includes a wide range of products divided in Electronics, House Hold Products, Do-It-yourself (DIY), Home Apparel, House and Personal Care, Hobby and Free Time, and Fashion. The Company is active locally.

Provider
Edison Investment Research
Edison Investment Research

Edison is an investment research and advisory company, with offices in North America, Europe, the Middle East and AsiaPac. The heart of Edison is our world renowned equity research platform and deep multi-sector expertise. At Edison Investment Research, our research is widely read by international investors, advisors and stakeholders. Edison Advisors leverages our core research platform to provide differentiated services including investor relations and strategic consulting.

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Analysts
Kate Heseltine

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