Andrew Douglas, an analyst from Jefferies, maintained the Buy rating on Videndum plc. The associated price target is p425.00.
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Andrew Douglas’s rating is based on several positive indicators for Videndum plc. Despite facing challenging market conditions and a demanding balance sheet position, the company has shown resilience by passing its September 2025 EBITDA covenant. The lenders have requested an additional covenant for October 2025, but the company’s progress suggests this should not pose a significant issue if current trends continue.
Moreover, management’s financial year expectations remain unchanged, with a notable improvement in the third quarter’s EBITDA, which increased by 50% compared to the second quarter of 2025. The order book also saw a substantial 40% year-over-year growth by the end of September 2025, with a 6% increase in order intake, marking the highest level in the past year. While Videndum still faces challenges, including the need to reduce debt through various financial strategies, the potential for recovery remains significant, justifying the Buy rating.