Ascopiave S.p.A.: Strong Financial Performance and Strategic Growth Plans Drive Buy Rating

Ascopiave S.p.A. (0DME – Research Report), the Utilities sector company, was revisited by a Wall Street analyst yesterday. Analyst Enrico Bartoli from Mediobanca maintained a Buy rating on the stock and has a €3.75 price target.

Enrico Bartoli has given his Buy rating due to a combination of factors that highlight Ascopiave S.p.A.’s strong financial performance and strategic growth plans. The company’s 2024 results exceeded initial expectations, with a notable increase in both revenue and EBITDA, driven by higher regulated revenues and contributions from the renewable sector. Despite a slight decline in net income, the company’s net debt remained stable, indicating solid financial management.
Furthermore, Ascopiave’s new business plan for 2025-28 focuses on expanding its gas distribution assets, which is expected to drive significant growth in EBITDA and net profit. The plan includes substantial investments in gas distribution and renewable energy, alongside cost efficiencies and technological advancements. The stock is currently trading at a discount compared to its asset value, providing an attractive investment opportunity, especially with the anticipated acquisition of gas distribution concessions from A2A, which is expected to enhance the company’s financial structure and stock value visibility.

In another report released on March 7, Kepler Capital also maintained a Buy rating on the stock with a €3.80 price target.