Attractive earnings scenario reinforced

Q4 in line with pre-announcement. We see significant cash flow generation in 2024e-2025e. BUY: Valuation too low after proven success in 2023.

Q4 in line with pre-announcement

2024 to show meaningful profit

Slightly weaker Q4 pre-announced. We are optimistic about profit generation in 2024e. BUY: Storytel is on a good path and the valuation is too low.

Mostly positives in today's announcement

Impressive quarter boosts conviction further

Blowout Q3 showed strength across the board. Bordering on positive net profit and FCF. BUY: Storytel is on a good path and the valuation is too low.

Q3: strength across the board

Strong Q2 reinforces confidence

ARPU uplift and low churn indicate high-quality subs base. Recent performance bodes well for strategy execution. BUY: Storytel is on a good path and the valuation is too low.

Stronger Q2 driven by higher Nordic ARPU

Good growth but lower margin expectations

We expect improved streaming growth in Q2 but lower our margin assumptions. BUY: valuation too low, but uncertainty remains high.

CMD to reveal new financial targets

Financial targets in focus at first CMD in more than three years. No quick fix to restore confidence, but company is on right track. BUY: valuation too low, but uncertainty remains high.

More than baby steps

Encouraging development in subs and margins strengthens our confidence. We reiterate BUY and our TP of SEK 80, which corresponds to 2x sales and 4x gross profit.

Q1: Solid margin improvement

Weak Q1 shouldn't be a shocker

We expect sequentially decreasing margins due to cost burdens, and given that subs growth has yet to accelerate. BUY: valuation too low, but uncertainty remains high.