Biesse SPA: Hold Rating Amidst Challenging Macroeconomic Environment and Uncertain Recovery Prospects

Biesse SPA (0DUK – Research Report), the Industrials sector company, was revisited by a Wall Street analyst on May 19. Analyst Alberto Francese from Intesa Sanpaolo maintained a Hold rating on the stock and has a €8.10 price target.

Alberto Francese has given his Hold rating due to a combination of factors impacting Biesse SPA’s performance. Despite a positive sign with the growth in order intake, the company faced weak results in the first quarter of 2025. This was largely due to a challenging macroeconomic and geopolitical environment, which has led to a decline in revenues and a significant drop in EBITDA compared to the previous year.
Furthermore, the uncertainty in the coming quarters remains high, as the company’s management acknowledged that their financial targets set in the 2024-26 plan are no longer achievable. While Biesse is taking strategic steps to optimize costs and reorganize its operations, the ongoing uncertainties have prompted a reduction in future earnings estimates. Consequently, Francese has maintained a neutral stance, reflecting the limited visibility on the company’s recovery prospects.