Strong Order Momentum and Intact Mid-Term Growth Outlook Justify Buy Rating Despite Softer 2026 Guidance

Jefferies analyst Constantin Hesse maintained a Buy rating on PVA TePla today and set a price target of €31.00.

Constantin Hesse has given his Buy rating due to a combination of factors that, in his view, outweigh the near-term disappointment in guidance. He notes that while fourth-quarter sales were broadly in line with expectations and profitability was temporarily held back by ongoing investment, the company delivered a very strong order inflow, far ahead of market forecasts, which underpins future growth. The updated outlook for 2026 is admittedly below current consensus on both revenue and EBITDA, and is likely to be a short-term drag on the share price, but he highlights that management still confirms a robust longer-term growth path.

Hesse places particular emphasis on the company’s indication that sales should surpass €300m in 2027 and that its medium-term revenue ambition of €500m remains intact, even if the timing has been clarified versus prior assumptions. From his perspective, the anticipated return to solid double‑digit revenue growth from 2027 onward implies a strong improvement in order intake in 2026 and an even faster recovery in earnings as operating leverage kicks in. Taken together, the powerful order momentum, the intact mid-term growth narrative, and the prospect of accelerated profit expansion form the basis for maintaining a positive stance on the stock despite the softer 2026 guidance.

According to TipRanks, Hesse is a 3-star analyst with an average return of 4.1% and a 44.68% success rate. Hesse covers the Industrials sector, focusing on stocks such as Nordex, PVA TePla, and Interroll Holding AG.

In another report released on January 23, Berenberg Bank also maintained a Buy rating on the stock with a €39.00 price target.