Jefferies analyst Adela Dashian maintained a Hold rating on Tomra Systems ASA today and set a price target of NOK135.00.
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Adela Dashian’s rating is based on the current uncertainties surrounding Tomra Systems ASA, particularly in relation to the deployment of Deposit Return Schemes (DRS) in new markets. The company is facing challenges due to increased competition and persistent difficulties in its Recycling segment, which have contributed to a lackluster third-quarter performance.
Given these factors, Dashian has adjusted the price target to NOK 135, reflecting a more cautious outlook on the company’s ability to scale and improve margins in the near future. The stock is currently trading at a discount, which is considered appropriate given the slow earnings momentum and structural challenges that need to be addressed before a re-rating can occur.