LU-VE SpA, the Industrials sector company, was revisited by a Wall Street analyst yesterday. Analyst Andrea Randone from Intermonte maintained a Buy rating on the stock and has a €47.80 price target.
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Andrea Randone has given his Buy rating due to a combination of factors that underline both solid current fundamentals and attractive future prospects. He notes that, despite a strong 50% share price appreciation over the past year, LU-VE still trades at a meaningful discount to peers on 2026 EV/EBITDA and P/E multiples. The company is expected to accelerate revenue growth in 2026, supported by a robust order backlog, high single-digit organic expansion and operating leverage that should further enhance margins after several years of efficiency gains. Randone also highlights LU-VE’s proven ability to manage cost pressures and external shocks – including raw material spikes, FX volatility and tariffs – through its localised production model and disciplined cost control.
Furthermore, Randone sees structural drivers supporting the investment case, particularly LU-VE’s technological leadership in cooling systems and its positioning to capture increasing demand from data centres and heat pumps in Europe, the US and Asia. The company’s business is well diversified across multiple end-markets, which reduces cyclicality and enhances resilience. After completing a major investment cycle, capital expenditure is set to normalise, freeing up cash and leading to a marked improvement in free cash flow generation from 2026 onwards. Combined with a sound balance sheet, improving leverage metrics and what he regards as a high-quality management team, these elements support his view that the stock can continue to re-rate, justifying the raised target price and the reiterated Buy recommendation.
Randone covers the Technology sector, focusing on stocks such as Reply SPA, Sesa S.p.A., and TXT e solutions SPA. According to TipRanks, Randone has an average return of 9.6% and a 58.49% success rate on recommended stocks.
In another report released on January 14, TP ICAP MIDCAP also maintained a Buy rating on the stock with a €50.00 price target.