Esprinet Spa (0NFS – Research Report), the Technology sector company, was revisited by a Wall Street analyst yesterday. Analyst Gabriele Berti from Intesa Sanpaolo reiterated a Buy rating on the stock and has a €6.60 price target.
Gabriele Berti has given his Buy rating due to a combination of factors that highlight Esprinet Spa’s promising growth potential. The company experienced a significant acceleration in growth during the fourth quarter, driven by a recovery in household demand and positive developments in the corporate sector. Additionally, the newly established ‘green tech’ sales division performed well, contributing to growth across all product and customer segments. This was further supported by an improved IT spending environment and market share gains in Italy and Spain.
Moreover, the stock is currently trading at a compressed FY25E EV/EBITDA multiple, which Berti believes does not fully reflect the potential of the consumer recovery and Esprinet’s leadership in the ICT distribution market. The positive outlook is bolstered by expectations of technological renewal in PCs, driven by AI innovations and the end of support for Windows 10. The appealing dividend proposal and the company’s focus on strategic M&A opportunities also add to the attractiveness of the stock.
Based on the recent corporate insider activity of 10 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of 0NFS in relation to earlier this year.