Today, Gerresheimer (GXI) announced that it signed a purchase agreement to acquire the Bormioli Pharma Group, an Italy-based specialist for pharmaceutical primary packaging made of glass and plastic. Gerresheimer expects to leverage substantial synergies given the strategic fit and complementarity, which will accelerate its ongoing transformation into an integrated systems and solutions provider. The transaction valuation is not too far away from Gerresheimer’s own valuation, which suggests that Gerresheimer is not overpaying. Due to the attractive financials, the company is likely to upgrade its medium-term guidance after closing. mwb research confirms the PT of EUR 120.00 and the BUY rating. The full update can be downloaded under https://www.research-hub.de/companies/research/Gerresheimer%20AG

mwb research initiates coverage of Siltronic AG with a BUY recommendation and a PT of 94.00 offering an upside potential of 24%. Siltronic, a pioneering Western-based supplier of hyperpure silicon wafers, holds a global market presence with over 50 years of industry expertise and a 14% share in a highly consolidated market. Its unique value proposition lies in its advanced technology and innovative capabilities. The company excels particularly in the leading-edge 300mm wafers and 200mm wafers tailored for the power segment. With the electronics industry gaining momentum and the semiconductor industry projected to double by 2030, driven by AI, autonomous vehicles, and electromobility, Siltronic is strategically positioned to leverage these megatrends, enhancing growth through initiatives such as FabNext and the site expansion in Freiberg. According to the mwb research DCF model, Siltronic is trading below its fair value with a 24% upside potential, presenting a compelling investment opportunity, especially if megatrend trajectories materialize as anticipated. The full update can be downloaded under https://research-hub.de/companies/Siltronic%20AG

123fahrschule (123fs) informed on the latest events in a very informative investor call. The topics were 1) the acquisition of FOERST GmbH, 2) the potential of new business models with driving simulators and 3) the current developments in the FY 2024. For the use of simulators in training, the regulatory change will have to be awaited (expected this year). However, the sale of simulators in Germany and international sales will have an impact on the figures from closing (expected July 1, 2024) in H2 2024, which is why mwb research's analysts are adjusting their estimates. The experts see the acquisition of FOERST as strategically important rather than a major contributor to revenues and earnings in 2024 and 2025. 123fs remains practically the only beneficiary of the liberalization and digitalization of the driving school market, which is why mwb research sees significant growth potential and reiterates the BUY rating with an increased price target of EUR 6.80 (old EUR 6.60).The full update can be downloaded under https://www.research-hub.de/companies/research/123fahrschule%20SE

Last week, Vulcan Energy Resources announced that it has progressed into the second and final stage of its financing process, now being in formal discussions with structuring banks. In parallel, Vulcan advanced its project-level equity financing process after a first due diligence phase. The company intends to build long-term strategic relationships with potential partners from the engineering and energy sector. With detailed due diligence ongoing, Vulcan is anticipating finalizing all components of its financing process in Q4 2024. Subsequently, closing/draw down on funds is expected during Q1 2025. Successful project financing should remove major obstacles and risk factors to bring more institutional investors on board. Although the share price has shown an outstanding performance in recent weeks, mwb research continues to see upside. The recommendation remains BUY with a PT of EUR 9.90. The previous update can be downloaded under https://www.research-hub.de/companies/research/Vulcan%20Energy%20Resources

Wolftank Group released FY23 results which saw a 39% increase in sales yoy to EUR 87m, driven by growth across all segments. Environmental Services sales surged to EUR 51.7m, aided by the acquisition of Petroltecnica. Industrial Coatings and Maintenance Services rose to EUR 14.5m, while Hydrogen & Renewable Energies grew modestly to EUR 20.6m. EBITDA doubled to EUR 8.5m, with a 10% margin, and EBIT increased to EUR 4.0m. Despite higher-than-expected net debt, Wolftank exceeded most estimates and forecasts robust growth for FY24, with sales expected to reach EUR 110-127m and significant margin improvements. mwb research reiterates the BUY rating with unchanged PT of EUR 22.00, offering significant upside. The full update can be downloaded under https://www.research-hub.de/companies/Wolftank-Adisa%20Holding%20AG

Suedzucker (SZU) reported detailed results for FY23/24 that were in line with its prelim. release, meeting its guidance range and consensus. Group revenues reached EUR 10.3bn (+8% yoy) during the fiscal year, driven by high sugar prices. EBITDA and operating results posted significant increases and SZU is set to propose a dividend increase to EUR 0.90/share (+29% yoy), which represents a comfortable yield of c.6%. However, Q4 results registered fading momentum, with sales up only 5% yoy and operating result margins halving yoy to 3.5%, as higher production costs in the sugar segment negatively impacted earnings. Management anticipates significantly lower Q1 FY24/25 earnings amid a slow start to the year, as sugar prices have largely stabilised and should trend lower. SZU reiterated its dull guidance for FY24/25, which indicates broadly flat yoy group revenues (at the mid-point) and declining EBITDA and operating profits, particularly in the sugar segment. mwb research’s analysts maintain their HOLD rating on SZU at an unchanged PT of EUR 14.00. The full update can be downloaded under https://www.research-hub.de/companies/Suedzucker%20AG

Photon Energy's Q1 revenues decreased by approx. 10% yoy to EUR 17.4m, mainly due to an 80% decrease in the PV component trading business and a 27% decrease in IPP portfolio revenues due to lower electricity prices, despite a 24% increase in capacity. However, the New Energy segment recorded a revenue increase of 121%, driven by the capacity market in Poland. EBITDA improved to EUR 0.8m with a margin of 4.5%, supported by a significant contribution from New Energy and a decline in the low-margin trading business. A positive free cash flow of EUR 2.5m and a cash balance of EUR 5.2m, together with EUR 15m new project financing from the EBRD, provide financial flexibility for further development. With an adj. equity ratio of 27.7%, seasonally stronger quarters ahead and a partial switch to much more attractive feed-in tariffs in Hungary, Photon Energy's financial buffer appears adequate. The company's FY24 guidance is for revenues between EUR 90-100m and EBITDA between EUR 16-18m, the latter higher than mwb research’s previous estimates. mwb research reiterates the BUY rating with an unchanged price target of EUR 3.05. The full update can be downloaded under https://www.research-hub.de/companies/Photon%20Energy%20NV

Dermapharm (DMP) reported solid figures for the first quarter of 2024, although the weakness Other Healthcare Products and the Parallel Import was somewhat disappointing. Total revenues declined by 6% yoy to EUR 298m in Q1, as double-digit organic growth in the existing Branded Pharmaceuticals portfolio was more than negated by the negligible vaccine business. The latter also dragged the adj. EBITDA line by 16% yoy, though excluding the vaccine portfolio, adj. EBITDA and the margin rose sharply. Management expects momentum to pick pace over the course of 2024, bolstered by in-house launches and synergies from Arkopharma. It has hence reiterated its guidance for the full year, which is reassuring. mwb research’s analysts still believe that the complementary segments will drive sales and synergies, but the near-term outlook point to only stable-to-moderate growth. Therefore, the experts maintain their assumptions that were lowered after 2023 results and retain the price target of EUR 41.50 and BUY rating. The full update can be downloaded under research-hub.de/companies/Dermapharm%20Holding%20SE

This week, Delivery Hero (DH) signed a share purchase agreement to sell its foodpanda business in Taiwan to Uber Technologies for USD 950m (~EUR 873m), fully in cash. Additionally, Uber will invest USD 300m (~EUR 278m) at the time of signing in newly issued ordinary Delivery Hero shares, at a placement price of EUR 33.00 per new share. The transaction is targeted to close in H1 2025. This year’s newsflow has caused strong reactions in stock price, which, however, has turned predominantly positive since February. This deal should once again significantly improve the company's financial leeway. mwb research’s analysts maintain their estimates and their PT of EUR 52.00. BUY. The full update can be downloaded under https://www.research-hub.de/companies/Delivery%20Hero%20SE

Ceconomy confirmed the preliminary release earlier this week with its publication of the H1 2023/24 results. Adjusted for currency effects and portfolio changes, the company recorded a sales growth of 6.1% yoy. The EUR 26m yoy improvement in adj. EBIT to EUR 5m was supported by gross margin expansion and cost control from efficiency measures. Reported EBIT showed even a stronger swing, due to a positive result from Ceconomy’s share in Fnac Darty. Despite signals of an increasing competitive environment in Turkey, management made positive comments on current trading, which was reassuring. mwb research upgrades the PT to EUR 3.00 (EUR 2.90) and reiterates the BUY rating. The full update can be downloaded under https://www.research-hub.de/companies/Ceconomy%20AG