Initial report: EB is more focused on Automotive after the Test Tools deal
– Inderes
We have updated our investment case after the Test Tools transaction. EB is now more focused and also more concentrated on the Automotive business segment, which now represents around 2/3 of company’s net sales. Based on our sum-of-parts valuation we see significant upside potential in EB’s share, but believe that company has to prove its ability to also produce results before biggest leap forward. We keep our accumulate recommendation and target price of 0.90 EUR intact.