Cautious Hold Rating on adesso AG Amid Mixed Financial Performance and Economic Challenges

Henrik Paganetty, an analyst from Jefferies, maintained the Hold rating on adesso AG (0N5I – Research Report). The associated price target is €85.00.

Henrik Paganetty has given his Hold rating due to a combination of factors influencing adesso AG’s current financial performance. The company reported a notable 11% year-over-year increase in Q1 sales, reaching €353 million, which was achieved entirely through organic growth. However, despite this strong topline performance, the EBITDA remained flat compared to the previous year, maintaining a margin of 5.0%, which is a slight decline from the 5.6% margin seen in Q1 2024.
While adesso AG has managed to improve the utilization of its internal workforce, the increased cost of materials, driven by the hiring of external staff, has impacted profitability. The company remains optimistic about achieving its sales and EBITDA guidance for the year, with expectations of a slight improvement in margins. However, given the mixed results and the current economic challenges, Paganetty’s Hold rating reflects a cautious stance, acknowledging both the potential for growth and the existing pressures on profitability.

In another report released on May 1, Kepler Capital also maintained a Hold rating on the stock with a €102.00 price target.