(Finance) – EnVent Italia SIM has lowered to 4.00 euros per share (from 5.10 euros previously) on target price on Yolo Groupan Italian insurtech operator listed on Euronext Growth Milan, maintaining the judgment on the title to “Outperform” given the potential upside of 120%.
Analysts write that the performance of Yolo in 2023 underlines its growth trajectory, reaffirming its goal of achieving break-even by 2024 and a turnover of between 17 and 20 million euros. Investments persist and are aimed at the development of tech platforms and new acquisitions. The increase in share capital is aimed at supporting the growth strategy.
The broker confirms our estimates with the B/S fine tuning and records the capital increase, making liquidity available to pursue growth objectives. Look forward to more updates on potential Spanish M&A deal announced last February, target revenues of 3.0-3.5 million euros in FY23, EBITDA margin above 10% and net cash financial position.
“Based on 2023 results, management’s outlook for 2024 in line with our estimates and the new capital increase that led to real non-organic growth have led us to be confident on our previous assessment,” the research reads.
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