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Research

Solteq: Switching to a smaller gear

By Inderes
18.02.2022, 11.43
Solteq
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Solteq’s Q4 was a continuation for soft Q3. However, the whole year was strong, and the company is clearly better positioned to continue growth and internationalization with investments and acquisitions. The valuation picture of the share is attractive, and the potential is clearly higher than our forecasts. Short-term talent market risks and transformation into a Nordic software company that is still in the early stages lead us to switch to a smaller gear.

Solteq

3.92EUR17.02.2022, 18.00
4.60EURTarget price
Accumulate
Changed from:Buy
Recommendation updated:18.02.2022

Solteq is an IT consulting company. The company specializes in ERP - Enterprise Resource Planning. Other services offered are related to financial management and inventory management. The customers consist of small and medium-sized corporate customers active in the retail and hotel industry. Solteq operates worldwide, with the largest presence in Europe, North America, and Asia.

Read more on company page

Key Estimate Figures18.02.2022

202122e23e
202122e23e
Revenue69.176.783.4
growth-%14.2 %11.1 %8.8 %
EBIT (adj.)7.47.79.8
EBIT-% (adj.)10.7 %10.0 %11.8 %
EPS (adj.)0.230.240.35
Dividend0.100.150.18
Dividend %2.1 %23.4 %28.0 %
P/E (adj.)20.72.71.9
EV/EBITDA9.22.31.6
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