(Boursier.com) — trigano soared 8.7% to 125.4 euros the day after the announcement of increased operating profitability in the first half of its 2021-2022 financial year despite the sharp increases in the purchase prices of the main components of its products . Over the period, consolidated current operating income thus amounted to €179.3 million and represents 12% of revenue (11.1% in 2020-2021).
Despite an order book that saturates its production capacities well beyond the end of the year, the group anticipates a loss in production volume of around 3,000 to 4,000 units in the second half given the problems in the supply chain and in particular a lack of rolling bases for motorhomes. The decline in activity should particularly affect the third quarter due to a high comparable, said management.
Portzamparc had felt the management particularly confident about the development of the market. Order books remain saturated and management is setting out its CAPEX intentions: expansion of the two recent factories (Spain and Italy), new Adria site confirmed… The stockbroker thus raises its 2022 EPS estimates by 2.9%. The Factset consensus should also adjust higher. The valuation remains depressed with a 2021/2022 EV/EBIT ratio of 4.7x, 3.8x for the following season. Visibility is good, however, and margins are historically high despite the context. The valuation is now lower than that of 2019 (context of falling margins, destocking by dealers, etc.). What to stay in the ‘purchase’ on the title with a target of 210 euros.
The fundamentals of the group are good but the momuntum remains unfavorable with a production which will remain disrupted in the second half, notes for its part Oddo BHF. With the inflation of raw materials and wages, new price increases could be necessary, which will allow us to have more perspective on the elasticity of demand to prices (the drop in dealership attendance seems to be explained by abnormally long delivery times). In order to take this uncertainty into account, the broker is renewing its ‘neutral’ opinion, nevertheless emphasizing a “Value” character since the EV/EBIT comes out at 5x and 4x 2023e vs a historical figure of 8.5x.
©2022 Boursier.com