Euroxx: New target price at 23.8 euros for Mytilineos with a margin of 57%

Euroxx: New target price at 23.8 euros for Mytilineos with a margin of 57%

Euroxx sees a wide margin of 57% for Mytilineos’s title, raising the target price to 23.8 euros for a company that, as it typically states, “has repeatedly proven that it can respond successfully to volatile market conditions”.

In particular, the stock market in its new report points to the record 359 million euros in the annual EBITDA of the group, driven mainly by the strong performance of the Metallurgy sector, while emphasizing that Mytilineos has “sufficient immunity” to its “perfect storm”. energy market.

According to Euroxx, the company is in a particularly good position to further strengthen its size in 2022, with stock market analysts estimating a 39% increase in EBITDA to 497 million euros, based on the wide range of diversification of its objects. group, its synergy model and investments.

Which will mean an increase of the group’s net profitability by 61% on an annual basis in 2022, to 262 million euros, a size double that of 2020 to 129 million.

In this context, Euroxx raises the share price to 23.8 euros from the previous 19.5 euros, with a margin of 57% rise from the last closing on Friday to 15.44 euros.

According to the report, even with the recent gains in the title (27% increase in the last 12 months), Mytilineos trades at 6.6 times the EV / EBITDA and 8.4 times the P / E, which does not reflect fully the quality and the unique development possibilities of the group.

Concluding the stock market emphasizes that Mytilineos presents an attractive combination of value and growth prospects, as it remains an excellent representative of the domestic energy transition.

The report estimates that the RES power of the group will reach 2.5 GW by the end of 2025, radically changing its profile and size.

Finally, it is also noted that Mytilineos is a leader among Greek companies in ESG practices, setting ambitious targets for reducing emissions.

Source: Capital