In a report released today, Adela Dashian from Jefferies maintained a Buy rating on MIPS AB (MPZAF – Research Report), with a price target of SEK645.00.
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Adela Dashian has given her Buy rating due to a combination of factors influencing MIPS AB’s performance. The company showed a significant increase in net sales, with a 40% year-over-year growth and a 42% organic growth, which indicates strong underlying business momentum. This growth was observed across various segments, including bike and snow helmets, as well as improvements in the Moto and Safety divisions.
Despite the positive sales growth, MIPS AB faced some challenges, such as legal costs related to a lawsuit involving a US customer, which impacted their EBIT. However, these costs are not expected to have a long-term effect on the company as MIPS is not directly involved in the lawsuit. Additionally, while trade tariffs may introduce short-term uncertainty, their direct impact on MIPS is anticipated to be minimal. These factors combined suggest a positive outlook for MIPS AB, justifying the Buy rating.
According to TipRanks, Dashian is ranked #2901 out of 9371 analysts.
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