Potential leans on earnings growth
Neo Industrial’s operative figures from the Q4-report were already known due to the preliminary information provided, but the bottom lines of the report contained a positive surprise. We reiterate our earlier target price of EUR 6.0, however, with the stock price decline, we upgrade our recommendation to Accumulate (was: Reduce). As the profit growth is realising, we see room for improvement in the valuation.
Reka Industrial
Reka Industrial is an investment company. The company invests mainly in industrial companies whose operations are focused on end products or semi-finished products. The vision is to own the companies long-term and generate shareholder value. The investment portfolio mainly consists of unlisted companies in the Nordic market. Reka Industrial was previously known as Neo Industrial and is headquartered in Hyvinkää.
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