Fair Value:29.7 € – – – – – – Rating: Buy
Preliminaries in line – Outlook conservative
PVA TePla continues to invest in growth. This has some impact on short term profitability and the fruits might not be reaped fully as early as hoped for. Still, we continue to look at a rising order intake and accelerating growth rates that should drive profitability. Reflecting this in our model brings our fair value to EUR29.7 which still leaves an upside of almost 40% from the share price after the release of preliminaries. Against this background we stick to our Buy rating on the stock.