DHH S.p.A.: Strengthened Balance Sheet, Structural Growth Tailwinds, and Compelling Valuation Support Reiterated Buy Rating

Analyst Giorgio Tavolini from Intermonte maintained a Buy rating on DHH S.p.A and increased the price target to €32.00 from €31.00.

Giorgio Tavolini has given his Buy rating due to a combination of factors tied to both DHH S.p.A.’s equity story and its operating outlook. He views the recent capital increase, executed at a notable premium to the market average price, as evidence of strong institutional interest and as a transaction that reinforces the balance sheet, boosts growth optionality, and improves stock liquidity without materially diluting earnings. Management’s latest indications, pointing to 2025 results broadly in line with expectations and confirming a solid double‑digit revenue increase with healthy profitability, further support his positive stance on the stock.

Giorgio Tavolini’s rating is based on the belief that DHH is well positioned to benefit from structural trends in its sector, such as cloud repatriation, stricter data-sovereignty requirements, and rising demand for private cloud and AI‑enabled solutions that are already showing encouraging commercial traction. He also emphasizes the company’s disciplined approach to M&A, its potential move to a more visible market segment, and a robust financial profile that limits insolvency concerns and client concentration risks. At his updated target price, DHH still trades at a discount to larger listed peers and recent private-market transactions on an EV/EBITDA basis, leading him to reiterate a Buy recommendation as the risk‑reward profile remains attractive.

DHH’s price has also changed moderately for the past six months – from EUR19.950 to EUR24.600, which is a 23.31% increase.