Original-Research: NFON AG - von NuWays AG Einstufung von NuWays AG zu NFON AG Unternehmen: NFON AG ISIN: DE000A0N4N52 Anlass der Studie: Update Empfehlung: BUY seit: 20.02.2024 Kursziel: 11.70 Kursziel auf Sicht von: 12 Monaten Letzte Ratingänderung: Analyst: Philipp Sennewald Recent weakness should be a clear BUYing opp.
20.02.2024 - 09:02:30Original-Research: NFON AG (von NuWays AG): BUY
Original-Research: NFON AG - von NuWays AG Einstufung von NuWays AG zu NFON AG Unternehmen: NFON AG ISIN: DE000A0N4N52 Anlass der Studie: Update Empfehlung: BUY seit: 20.02.2024 Kursziel: 11.70 Kursziel auf Sicht von: 12 Monaten Letzte Ratingänderung: Analyst: Philipp Sennewald Recent weakness should be a clear BUYing opp. In our view, the recent share price weakness (-23% YTD) is highly unjustified and should rather offer an attractive entry point as we advise investors to BUY the dip. Here is why: Operational turnaround in full swing. As outlined in our recently published long-note (click here), things took a turn for NFON in 2023, as efficiency measures, such as reduced marketing spend (9M '23: -51% yoy) and workforce adjustments (-12% yoy) started to gain traction. Combined with an improved gross margin (+2.1pp yoy) this enabled the company to expand its adjusted EBITDA significantly to EUR 6.0m (9M '22: EUR -0.8m). Structural growth drivers. NFON finds itself amid a structurally growing and historically underpenetrated market. Especially the company's core business multi-tenant cloud-PBX is seen to deliver compelling growth rates (13% CAGR '22' 26e). The final fading out of ISDN by telecom carriers (end of 2022) the latest should serve as an inflection point, forcing businesses to switch to VoIP based solutions such as NFON's Cloudya. Against this backdrop, penetration rates are seen on the rise, particularly in Germany (H1 '23: 14% penetration; 2027e: 43%; 76% of NFON sales), where the market has been historically underpenetrated. As market leader, NFON should be a clear beneficiary of this development. Strong FY figures expected. NFON will release preliminary FY figures on March 7th which look set to come in ahead of street's expectations on the bottom-line. In detail: FY '23e sales are seen at EUR 82.4m (eCons: EUR 84.0m) as ARR should amount to EUR 73.6m, thus reaching the guidance on both ARR growth (+4.4% vs 3-9%) and ARR ratio (91.1% vs >= 88%). More importantly however, profitability is expected to outperform expectations, as adj. EBITDA is expected to come in at EUR 8.0m (eCons: EUR 7.6m), thus meeting the guidance of EUR 7.8-8.3m, which has already been upgraded twice during 2023 (initial guidance > EUR 4m). Trading at only 1.0x EV/Sales '23e, the stock is too cheap to ignore in our view, especially as this is below the levels we have seen prior to the turnaround (1.3x in 02/23). Strong BUY with an unchanged PT of EUR 11.70 based on DCF. Die vollständige Analyse können Sie hier downloaden: http://www.more-ir.de/d/28931.pdf Die Analyse oder weiterführende Informationen zu dieser können Sie hier downloaden www.nuways-ag.com/research. Kontakt für Rückfragen Die Analyse oder weiterführende Informationen zu dieser können Sie hier downloaden www.nuways-ag.com/research. Kontakt für Rückfragen NuWays AG - Equity Research Web: www.nuways-ag.com Email: research@nuways-ag.com LinkedIn: https://www.linkedin.com/company/nuwaysag Adresse: Mittelweg 16-17, 20148 Hamburg, Germany ++++++++++ Diese Meldung ist keine Anlageberatung oder Aufforderung zum Abschluss bestimmter Börsengeschäfte. Offenlegung möglicher Interessenskonflikte nach § 85 WpHG beim oben analysierten Unternehmen befinden sich in der vollständigen Analyse. ++++++++++ -------------------übermittelt durch die EQS Group AG.------------------- Für den Inhalt der Mitteilung bzw. Research ist alleine der Herausgeber bzw. Ersteller der Studie verantwortlich. Diese Meldung ist keine Anlageberatung oder Aufforderung zum Abschluss bestimmter Börsengeschäfte.
