Next Geosolutions Europe SpA: Strong Financial Performance and Growth Potential Justify Buy Rating with 43% Upside

Andrea Zampaloni, an analyst from Alantra Equities, maintained the Buy rating on Next Geosolutions Europe SpA (NXT – Research Report). The associated price target is €12.60.

Andrea Zampaloni has given his Buy rating due to a combination of factors that highlight Next Geosolutions Europe SpA’s strong financial performance and growth potential. The company demonstrated significant growth in FY24, with a notable increase in Value of Production driven by large-scale offshore renewable projects and interconnectors in Northern Europe and the Mediterranean. This growth trajectory is supported by a diversified revenue base, including ongoing oil and gas activities, which solidifies its leadership in offshore energy infrastructure.
Moreover, Next Geosolutions exceeded profitability expectations, with EBITDA rising substantially, showcasing the resilience of its business model despite complex project demands. The company’s robust operating cash flow and IPO proceeds have improved its net financial position, enabling strategic investments in fleet expansion and advanced equipment. With a strong project backlog and pipeline, alongside a strategic focus on renewable energy, Next Geosolutions is well-positioned for future growth, justifying the Buy rating and the increased target price, which offers a 43% upside.