PFISTERER Holding SE : Amped up for growth – Initiating coverage –Neutral rating – TP € 42

PFISTERER Holding SE’s (short: PFISTERER) IPO resulted in a capital increase of c.€ 95m, to finance the company’s expansion in dynamic global utility infrastructure markets with high growth rates (CAGR +11.6% for the addressable market), largely supported by the transition to sustainable energy. As a classic growth case (revenue CAGR of 12.3%), PFISTERER’s strategy requires fresh funds to expand production, drive internationalisation and support the scaling of the organisation with this growth. Investors can expect adjusted EBITDA margins to increase over the next 5 years from an already good level of 16.9% to 19.0%. We are initiating coverage of PFISTERER with a Neutral rating and a target price of € 42.