Jefferies analyst James Wheatcroft maintained a Buy rating on Better Collective A/S (BETCO – Research Report) yesterday and set a price target of SEK275.00.
James Wheatcroft has given his Buy rating due to a combination of factors that highlight Better Collective A/S’s promising financial outlook. The company’s pre-announced financial results have exceeded both guidance and consensus expectations, with revenues and EBITDA outperforming forecasts by 2% and 7%, respectively. This positive performance was driven by revenues hitting the upper end of the guidance range and an early realization of cost savings.
Moreover, the valuation of Better Collective A/S appears attractive, with an EV/EBITDA multiple for FY24E at 6.5x, which is lower compared to the average of 10x since the start of FY22. The expected FY24E revenues are projected to be €371 million, aligning with the top end of the guidance range, further reinforcing a positive outlook. These factors combined contribute to a robust financial position, justifying the Buy rating.
According to TipRanks, Wheatcroft is a 4-star analyst with an average return of 6.8% and a 49.79% success rate.