Hexatronic reported revenue levels that exceeded our expectations but fell a bit short on the margin levels. Still the company reported an EBITDA of 19 MSEK, 8% above our forecast. Our full year turnover estimate is adjusted upwards but we keep the Q4 forecast intact. We find it likely that the Q4 will be the weakest of the four quarters, because of seasonality effects. In our long-term forecasts profitability levels and growth rates are unchanged. The underlying market for fiber infrastructure continues to be strong.
Our fair value estimate per share is adjusted upwards to 21.1 (20.3). Since our last update the share price has performed exceptionally well, with an appreciation of 26%. We do believe that we only have seen the start of a long growth story for this company. We find that Hexatronic is a profitable growth company at a reasonable price.
To read the full report visit http://www.redeye.se/
This information was brought to you by Cision http://news.cision.com
The following files are available for download:
Most Popular Stories
- U.S. Families 'Extraordinarily Vulnerable': Yellen
- Hillary Clinton to Address CHCI Conference
- Larry Ellison Steps Down as Oracle CEO
- Alibaba Prices IPO at $68 a Share
- Veterans to Get Training as Solar Panel Installers
- Apple Locks Itself Out of Devices
- Hispanics Doubt Marco Rubio's Chances
- Wildfires Rage in California
- John Cantlie Delivers ISIS Message to Save Life
- Alibaba: Today China, Tomorrow the World