(Finance) – Intesa Sanpaolo confirmed to “Buy” the recommendation on LINEa company listed on Euronext STAR Milan and active in the sale of articles for the visual and plastic arts, and has lowered the target price to 13.7 euros per share (from 14.5 euros).
Analysts write that FILA posted fiscal 2023 sales and profitability slightly below estimates. However, the Cash generation was abundant and allowed a strong reduction in debt, with net debt in line with estimates. Forex and Europe have been a drag on profitability, but the company should address the difficult European environment with particular attention and improve EBITDA Margin and net working capital.
Intesa Sanpaolo has cut Adj. EPS estimates. by 15% and 18.5% in FY24/25, given lower-than-expected EBIT in FY23 and a slight increase in net debt projections. It highlights that the dividend distribution is higher than the past average.