In a report released on March 17, Alberto Francese from Intesa Sanpaolo maintained a Buy rating on LU-VE SpA (LUVE – Research Report), with a price target of €33.50.
Alberto Francese has given his Buy rating due to a combination of factors that highlight LU-VE SpA’s improving financial performance and strategic positioning. Despite a challenging 2024 with reduced volumes, the company managed to enhance profitability and generate significant operating cash flow, attributed to investments in production automation and cost containment measures. The management’s outlook is optimistic, with anticipated growth in sectors like data centers, commercial refrigeration, and refrigerated transport, particularly from the second half of 2025.
LU-VE’s business model demonstrates resilience through diversification across uncorrelated sectors, leveraging trends such as electrification and digitalization. The planned expansion with new plants in China and the US is expected to bolster production capacity. The company’s strategic investments and disciplined cost management have led to an improved EBITDA margin, supporting the Buy rating. The target price has been increased to EUR 33.5, reflecting the potential benefits from sectoral growth and operational efficiencies.
In another report released on March 17, Intermonte also maintained a Buy rating on the stock with a €36.40 price target.