ALMIRALL: A MORE CONSERVATIVE SCENARIO (ANÃLISIS BANCO SABADELL)
We assume a more conservative scenario after the announcement of the guidance’20. BUY.We cut our estimates for 2020-22 by -13% in EBITDA and -23% in Net Profit after the company gave a guidance’20 below expectations. The revision has an impact of -10% on our T.P., which is reduced to € 18.00/sh. (+54% upside), and implies a ~250bps cut to EBITDA margins, which we are assuming also in recurrence to position ourselves in a more conservative scenario. The stock’s recent drops (-22% vs. IBEX since the sale of a 6.3% stake by the Gallardo family) leaves ALM trading at attractive levels (8.7x EV/EBITDA’20; -19% vs. peers), and we expect a gradual re-rating of the stock, as we believe that a greater deterioration of margins from current levels is unlikely (already meaning around -100bps vs. 2019 ex AZ), and we remain confident in the performance of its products in a ramp-up phase from its recurring business (74% of our T.P.), the potential of its pipeline (24% of our T.P.) and its room for M&A moves (~1.2x NFD/EBITDA excl. pension plans).
Almirall is engaged in the acquisition, manufacture, storage, sale and mediation in the sale of pharmaceutical specialties and products and all manner of raw materials used to prepare pharmaceutical specialties and products. Also, Co. acquires, manufactures, storages, sales and mediates in the sale of cosmetics, chemical, biotechnological and diagnostic products for human, veterinary, agrochemical and food-industry use, as well as all manner of utensils, complements and accessories for the chemical, pharmaceutical and clinical industries. In addition, Co. is engaged in the acquisition, sale, lease, subdivision and development of land lots, land and properties of all kinds.
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.