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Tinexta SpA: Strong Financial Performance and Attractive Valuation Justify Buy Rating

Tinexta SpA: Strong Financial Performance and Attractive Valuation Justify Buy Rating

Intermonte analyst Carlo Maritano maintained a Buy rating on Tinexta SpA (7T4Research Report) on May 19 and set a price target of €16.40.

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Carlo Maritano has given his Buy rating due to a combination of factors that highlight Tinexta SpA’s promising financial outlook. The company reported a strong start to the year with results exceeding expectations, particularly in terms of margins and cash flow. Revenue increased significantly, driven by a robust performance in the Business Innovation division, which saw substantial growth in subsidized finance.
Maritano also noted that Tinexta’s adjusted EBITDA surpassed projections, and the company’s net debt was better than anticipated, supported by an increase in free cash flow. Despite some challenges in the Digital Trust and Cybersecurity divisions, the overall performance and confirmed guidance suggest a positive trajectory. The stock is currently trading at attractive valuation levels, offering a substantial upside to the target price of €16.40, which justifies the Buy rating.

In another report released on May 16, Intesa Sanpaolo also maintained a Buy rating on the stock with a €17.50 price target.

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