Corporate Family Office SIM analyst Gianluca Mozzali has maintained their bullish stance on IWB stock, giving a Buy rating on February 5.
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Gianluca Mozzali’s rating is based on Italian Wine Brands S.p.A.’s exceptional financial performance and strategic improvements. The company reported a record adjusted EBITDA of €50 million, demonstrating strong profitability with a margin of 12.5%. This was achieved through a more lucrative product mix, primarily driven by the growth of the group’s Top Brands, as well as effective cost management and optimization of the procurement process.
Moreover, the company’s ability to generate significant cash flow, with an adjusted EBITDA to free cash flow conversion rate of 53%, further underscores its financial health. Despite a slight decline in turnover due to anticipated price adjustments and market challenges, IWB’s strategic focus on enhancing its product mix and operational efficiency has resulted in improved profitability forecasts. These factors, along with an updated discounted cash flow valuation leading to a target price of €37.50 per share, representing a 60.9% upside, have led to the reiteration of a Buy rating.
In another report released on February 5, TP ICAP MIDCAP also maintained a Buy rating on the stock with a €33.60 price target.