Planisware : Profile now underestimated and in a position to rekindle market interest

Planisware is a (multi)specialist in the project portfolio management (PPM) software market. After a flawless performance since it went public in April 2024, the sales warning issued in Q3 over FY 2024 (growth expected at 17-18% vs. 19.5% previously) sent the stock down and triggered a significant valuation de-rating. However, this “snag’’, which affected market perception more than the group's EPS, should be put into perspective, as Planisware - one of the most dynamic and profitable industry players - can showcase its (intact) fundamentals, strengths and attractive prospects to win back the market's favours in no time. We therefore believe the fall in the stock (-20% in 3 months) offers a favourable risk/reward profile, creating an opportunity for a genuine compounder (able to double its valuation every 4-5 years). Coverage initiated with an Outperform rating, TP € 30.