HWK 1365 SE (HWK) is the world market leader in large calender rolls, a high-tech product that is essential for the production of high-quality paper and cardboard. With an 80% market share in this niche, the company supplies leading paper machine manufacturers and is benefiting from growth drivers such as the increasing use of coated board and folding cartons, as well as the expansion of its service business and diversification into the food industry. The IPO gives investors the opportunity to invest not only in a hidden champion, but also in Germany's oldest industrial company. mwb research’s analysts recommend to BUY with a price target of EUR 80.00 on a DCF basis. The full update can be downloaded under https://www.research-hub.de/companies/HWK%201365%20SE

Der Umsatz von Sartorius blieb im ersten Quartal mit einem währungsbereinigten Rückgang von 8% im Vergleich zum Vorjahr hinter den Konsenswerten zurück, was auf eine schwächere Nachfrage in China und eine hohe Vergleichsbasis zurückzuführen war. Auch der Konsens zum Auftragseingang wurde verfehlt, obwohl dieser im Jahresvergleich um 8% stieg. Das adj. EBITDA übertraf zwar die Markterwartungen, lag aber dennoch um 14% unter dem Vorjahreswert. Wie bereits zuvor warnte das Management vor der Investitionszurückhaltung seiner Kunden in China und in gewissem Maße auch in Europa, was die Auftragseingänge im Anlagengeschäft dämpft. Positiv zu vermerken ist, dass sich die Aufträge bei den Verbrauchsmaterialien gut erholen. Das Management erwartet, dass die Kunden ihre Lagerbestände im ersten Halbjahr weiter abbauen werden; im zweiten Halbjahr dürfte die Dynamik jedoch wieder zunehmen. Für 2024 bestätigte das Unternehmen die Prognose für ein mittleres bis hohes einstelliges jährliches Umsatzwachstum und eine Verbesserung der bereinigten EBITDA-Marge auf etwas über 30 %. Nach einem schwachen Start in Q1 halten die Analysten von mwb research EBITDA-Margenziele von über 30% für eher ambitioniert als wahrscheinlich. Die Experten halten an ihrer VERKAUFEN-Empfehlung fest, da die Bewertungen überzogen erscheinen, und behalten ihr DCF-basiertes Kursziel von EUR 240,00 bei. Die vollständige Analyse ist abrufbar unter research-hub.de/companies/Sartorius%20AG

FCR Immobilien AG has published preliminary results for FY23, which were slightly below mwb research’s expectations, but can be considered solid given the difficult situation on the real estate market. Revenues increased by roughly 58% to around EUR 57m, mainly driven by recurring rental income, but also by sales proceeds from portfolio optimizations, which were on average 6% above book value. FFO amounted to a solid EUR 8.2m at the end of the year (previous year: EUR 9.4m). As a result, FCR was again able to offset higher interest expenses through indexed and new rental agreements. The real estate portfolio is currently valued at 12.5x net annual rent, which corresponds to an attractive gross rental yield of 8%. mwb research’s analysts reiterate their BUY rating, but lower their price target slightly to EUR 20.50 (previously EUR 23.50), still reflecting an upside of >100%. The previous full update can be downloaded under https://www.research-hub.de/companies/FCR%20Immobilien%20AG

LM Pay S.A. is a leading non-bank provider of financing for medical and aesthetic services for private customers in Poland. In November, the fintech company was listed on the primary market of the Düsseldorf stock exchange, the special segment for innovative SMEs. With the start of trading, LM Pay continues to pursue its growth strategy beyond the Polish market, making it easier for customers to use its innovative services and for investors to participate in an attractive business. In addition to increased brand recognition, LM Pay has gained additional flexibility in terms of refinancing options, which will lead to additional growth opportunities. With an existing infrastructure, skilled employees, and a broad product portfolio, LM Pay is poised to scale revenues with improved profits. Based on mwb research’s initial assumption, the analysts reiterate their BUY rating and PT of EUR 71.00. The full update can be downloaded under https://www.research-hub.de/companies/ABOUT%20YOU%20Holding%20SE

Koenig & Bauer’s peer, Heidelberger Druck, presented at mwb's German Small Cap Select conference. The company debunked the misconception of a shrinking printing market, emphasizing global print volume growth. While commercial printing seems to be stable, packaging solutions and industrial decoration exhibit robust growth at 4-6% CAGR. Structural trends like demographic shifts, lifestyle changes, and sustainability drive this growth, evidenced by SKB's 2.2% CAGR from 2019-2023 and promising midterm targets. Despite a potential slowdown in FY24, SKB is poised for sustained growth, yet its stock valuation does not reflect this. mwb research’s analysts therefore suggest capitalizing on current price weakness, which is why they maintain their BUY rating with PT of EUR 20.00. The full update can be downloaded under https://www.research-hub.de/companies/research/Koenig%20&%20Bauer%20AG

This week, Thomas Kicker and Markus Cserna, CEO and CTO of cyan AG, provided an overview of the new cyan AG during a well-attended roundtable hosted by mwb research. Following the i-new sale in December 2023, the management provided an overview of the company and outlined the path for 2024. The plan for 2024 is aimed to lay a leaner organizational foundation, a refocus on product level, while expanding business into additional markets and customer groups. From a financial perspective, the overall FY24 earnings performance will be still negative. However, the company targets a break-even for EBITDA and operating CF by Q4 2024. If the implementation is successful, the company will be on a solid footing to scale the business and grow profitably from 2025 onwards. mwb research’s analysts confirm their PT of EUR 3.50 and reiterate their BUY recommendation. The full update can be downloaded under https://www.research-hub.de/companies/cyan%20AG

Beiersdorf reported better-than-expected results in Q1, reporting org. growth of 7.3% yoy, slightly ahead of consensus expectation. Nivea (including Labello) achieved its best-ever quarterly sales in terms of absolute value, benefitting equally from a positive price mix and higher volumes. Derma was another bright spot with double-digit org. growth. Notably, La Prairie's Q1 sales trend turned positive after many quarters of declines, mainly led by demand revival in China. Management expects NIVEA’s momentum to continue for the rest of 2024, the luxury business to accelerate in H2, and sales in North America to pick pace. Given a solid start, Beiersdorf raised its full year org. sales growth guidance to 6-8% yoy and reiterated its expectation of a slight yoy expansion in the group adj. EBIT margin. These results reflect the strength of Beiersdorf’s brands and its ability to pass on input cost inflation and deliver on margins. However, mwb research’s analysts believe that all these positives are already priced in. Hence, mwb research’s analysts reiterate their HOLD rating at a revised PT of EUR 143.00 (old: EUR 140.00). The full update can be downloaded under https://www.research-hub.de/companies/Beiersdorf%20AG

ProSiebenSat.1 (PSM) has released prelim. Q1 figures showing a 6% yoy increase in revenues to EUR 867m. This increase was mainly driven by the recovery of TV advertising revenues, confirming the ongoing momentum. Despite the announced increase in program expenses, adjusted EBITDA increased by 35% to EUR 72m in Q1 and adjusted net income improved by EUR 22m yoy to EUR 8m, mainly due to the positive development but also driven by lower tax expenses. Furthermore, PSM’s battle with the shareholder MediaForEurope, dominated by the Berlusconi family, enters the next round at the AGM. MFE, which holds 27.3% of PSM, has a strong focus on the TV business and is therefore pushing for a spin-off/divestment of PSM’s dating and ecommerce business. With the outcome of the AGM still uncertain, the group's long-term strategy threatening to change and important parts of the company up for sale, mwb research’s analysts maintain their negative stance. In mwb research’s opinion, there is too much uncertainty to invest. The analysts maintain their SELL rating with an unchanged price target or EUR 6.00.The full update can be downloaded under https://www.research-hub.de/companies/research/ProSiebenSat.1%20Media%20SE

Pyramid announced the settlement of the earn-out component for the acquisition of faytech AG, with the seller receiving only slightly more than 0.9 million new Pyramid shares due to faytech's worse-than-expected financial results. In addition, a lock-up agreement was signed by major shareholders, management and the Supervisory Board, which secures just over 38% of the new share capital until March 31, 2025. Despite the challenging previous year, Pyramid is cautiously optimistic for the current fiscal year and expects revenues of EUR 78-80m and consolidated EBITDA of EUR 5.6-5.8m. In the view of mwb research’s analysts, the agreement with the sellers of faytech on the reduction of the earn-out and the lock-up agreement are good news and should strengthen confidence in Pyramid's corporate strategy. Due to the slightly diluted number of shares, the PT is lowered from EUR 2.50 to EUR 2.40. mwb research’s BUY rating remains unchanged. The full update can be downloaded under https://www.research-hub.de/companies/research/Pyramid%20AG

Cicor Technologies published a brief business update on Q1 2024. The company reported revenues of CHF 107.3m for the first quarter, up by 11.8% yoy. Thereof, the largest part was attributable to the consolidation of STS Defence. However, a softer economic environment, mostly in the industrial sector, translated to a slowdown of organic growth to 0.3% yoy. At the same time, book-to-bill ratio in the quarter fell below 1x due to aperiodic order placement at STS Defence. With the economic environment and the recent M&A activity already baked in, management confirmed its guidance, backed by a comfortable order backlog. mwb research’s analysts leave their estimates unchanged reiterating their PT of CHF 80.00 and their BUY recommendation. The full update can be downloaded under https://www.research-hub.de/companies/Cicor%20Technologies%20Ltd