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.
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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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