Aktiespararna puts buy on Doro, target price SEK 34 - share of the week
The analysis shows that the company is attractive thanks to its low valuation, stable finances, margin expansion and cost control.
In the last report, it was profitability in particular that increased significantly. The operating margin was 6.1%, compared to 0.5% in the same period last year. This is attributed to lower R&D costs and less depreciation.
"The quarter can be summarized as strong, but it should be emphasized that the company has had a seasonal pattern of higher margins in the second half of the year. We expect this to continue this year, driven in particular by high-margin product launches and a calmer investment activity," Aktiespararna writes.
At the same time, it is emphasized that Doro is not a share for the drawer.
"However, it is a stock that is currently trading at low valuations and where we see low growth, but greater margin expansion over the next 12 months. We believe that it does not take much to make the case worthwhile, not least when the expected dividend corresponding to 9 percent in dividend yield for the 2024 financial year is added", Aktiespararna writes.
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