Analyst Filippo Migliorisi from TP ICAP MIDCAP reiterated a Buy rating on Italian Wine Brands S.p.A. (IWB – Research Report) and keeping the price target at €33.60.
Filippo Migliorisi has given his Buy rating due to a combination of factors including Italian Wine Brands S.p.A.’s strong financial performance and strategic initiatives. The company reported record-high margins and a notable net profit of €22.6 million, which was achieved through effective cost optimization and the growth of its high-margin Top Brands.
Despite a decline in revenue, the company significantly reduced its net debt by 24.6%, improving its Net Debt/EBITDA ratio to 1.5x. Additionally, the Ho.Re.Ca. segment showed strong performance with an 8.3% increase in sales, driven by a shift towards premium products. These factors, along with a positive outlook on an upcoming M&A deal and a 38% increase in EPS, support the Buy recommendation with a target price of €33.6.