(Finance) – EnVent Italia SIM has confirmed the recommendation (Outperform) and the target price (21.30 euros per share, upside of 68%) on the stock Cults Milana company listed on Euronext Growth Milan and specialized in the production and distribution of fragrances and cosmetics.
Analysts note that the price of Culti Milano shares dropped in March 2024, from over 17.00 to less than 15.00 euros, followed by a bearish trend that brought the share price to the current level of around 12.00 euros. Overall, Culti Milano shares have lost 33% in the last 12 monthscompared to -6% of the Italia Growth index in the same period.
The sales consolidated revenues of Culti Milano were 12 million euros in the first half of 2024, +8% year-on-year, in line with analysts’ estimate of 26 million euros for the year.EBITDA adjusted was EUR 2.1 million, compared to EUR 1.8 million in the first half of 2023, margin of 17.5% compared to 16.1%.
“The expectations of the group for the second semester remain positive – the research states – The company’s expansion plans continue in both domestic and European markets, while a stable phase is expected in Asian markets”. Culti Milano trades at EV/Sales 2024-25 of 1.5-1.4x and EV/EBITDA of 8.2-6.8x, approximately 30% discount on average compared to peers.
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