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Research

Potential leans on earnings growth

By Petri GostowskiCo. Head of Research
Reka Industrial
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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 is an investment company. The company invests mainly in industrial companies whose operations are focused on finished products or semi-finished products. The vision is to own the companies long-term and generate shareholder value. The investment portfolio consists mainly of unlisted companies in the Nordic market. The company was previously known as Neo Industrial and is headquartered in Hyvinkää.

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Inderes’ Disclaimer can be found here. Detailed information about each share actively monitored by Inderes is available on the company-specific pages on Inderes’ website. © Inderes Oyj. All rights reserved.