SRH AlsterResearch AG Initiation: Cancom AG - Strong finish to the year 2020; Dividend up - Initiate with BUY

Cancom SE
Technology

Market Cap EUR 2.1bn

BUY, PT EUR 67.00 (upside 22%)
Cancom SE_initiation

Cancom’s better-than-expected revenue and profitability performance in Q4 amid a highly uncertain situation due to COVID-19 demonstrates the company’s flexibility and the right product mix in its portfolio. In the first half of 2021, it should gain from a low base, the revival of on-premise services and its balance sheet strength. The company is to provide its detailed 2020 financial report as well as the 2021 outlook on 30 March. We start coverage backed by a strong finish to the year 2020 with a price target of EUR_67.00, based on DCF as well FCF valuation – Initiate with BUY.

 

Please note that AlsterResearch publishes MiFID II compliant research only. For a detailed discussion on MiFID II, please visit https://www.research-hub.de