LU-VE SpA: Strong Growth Potential and Financial Stability Justify Buy Rating

Intermonte analyst Andrea Randone maintained a Buy rating on LU-VE SpA (LUVE – Research Report) yesterday and set a price target of €36.40.

Andrea Randone has given his Buy rating due to a combination of factors that highlight LU-VE SpA’s strong potential for growth and financial stability. Despite a slight decline in revenue at the start of the year, the company has shown a robust order backlog with a significant year-over-year increase, suggesting an acceleration in sales for the second half of 2025. This positive outlook is supported by awarded contracts in key sectors such as data center cooling systems and industrial refrigeration, which are expected to proceed as planned.
Furthermore, LU-VE SpA has demonstrated effective cost management, resulting in better-than-expected cash generation and a reduction in net debt. The company’s strategic initiatives, including the expansion of new plants in China and the United States, are anticipated to enhance its competitive edge and operational efficiency. These factors, combined with a stable pricing environment and management’s focus on cost efficiencies, underpin the confidence in the company’s ability to achieve its revenue and EBITDA forecasts, justifying the Buy rating.

LUVE’s price has also changed moderately for the past six months – from EUR25.900 to EUR32.150, which is a 24.13% increase.