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Original-Research: Multitude SE (von NuWays AG): BUY

18.03.2024
um 09:02 Uhr

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Original-Research: Multitude SE - from NuWays AG

Classification of NuWays AG to Multitude SE

Company Name: Multitude SE
ISIN: FI4000106299

Reason for the research: Update
Recommendation: BUY
from: 18.03.2024
Target price: 10.00
Target price on sight of: 12 Monaten
Last rating change:
Analyst: Frederik Jarchow

Strong Q4 figures // Bullish FY24 guidance confirmed; chg

End of last week, Multitude reported a very strong set of Q4 figures and
confirmed its FY24 EBIT guidance of EUR 67.5m. In detail:

Sales came in at EUR 63.1m, up 9% qoq and 15% yoy, slightly above our
estimates of EUR 60.4m (eNuW; restated to reflect directly attributable CAC),
driven by the strong growth of the net loan book (NAR) to EUR 636m (21% yoy;
including c. EUR 60m attributable to warehouse lending). Importantly, all
segments contributed significantly to yoy NAR growth. In FY23, Multitude
reached EUR 231m sales (9% yoy vs eNuW: 228m).

EBIT increased by 16% qoq to EUR 13.5m (40% yoy), above our estimates of EUR
12.2m (eNuW). With 45.5m on the FY base, the company achieved its FY23
guidance of EUR 45m. The solid bottom line is due to stable OPEX thanks to
efficiency measures (marketing, personnel) as well as topline growth.
Driven by NAR expansion and higher reference rates, financial costs
increased to c. EUR 8.5m (vs eNuW: EUR 6.6), resulting in an EBT of
approximately EUR 4.1m (vs eNuW: EUR 6.3m).

On the back of this strong set of numbers, management confirmed the FY24
EBIT guidance of EUR 67.5m (vs eNuW old: EUR 51m) expecting further topline
growth and scale effects. In our view, the guidance looks ambitious, but
not out of range given 1) the significantly increased loan book that should
fully materialize within FY24, 2) the strong growth momentum of CapitalBox
as well as the opportunities around the new segment wholesale banking that
already gained traction in FY23. That paired with the ongoing stable
performance of the "cashcow" of the Group (ferratum) and tight cost control
that the company already showed in FY23 give us additional confidence. Mind
you that the company reached its guidance for the 3rd consecutive year in
FY23.

As the stock looks still trading at a negative EV and a 3.4x PEŽ24, the
growing, highly profitable, resilient and dividend paying company continues
to look undebatably cheap.

Multitude remains in our NuWays Alpha List and we reiterate BUY with an
unchanged EUR 10 PT, based on our residual income model.

You can download the research here:
http://www.more-ir.de/d/29173.pdf
For additional information visit our website
www.nuways-ag.com/research.

Contact for questions
Die Analyse oder weiterführende Informationen zu dieser können Sie hier downloaden: www.nuways-ag.com/research.
NuWays AG - Equity Research
Web: www.nuways-ag.com
Email: research@nuways-ag.com
LinkedIn: https://www.linkedin.com/company/nuwaysag
Adresse: Mittelweg 16-17, 20148 Hamburg, Germany
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Diese Meldung ist keine Anlageberatung oder Aufforderung zum Abschluss bestimmter Börsengeschäfte.
Offenlegung möglicher Interessenskonflikte nach § 85 WpHG beim oben analysierten Unternehmen befinden sich in der vollständigen Analyse.
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-------------------transmitted by EQS Group AG.-------------------

The issuer is solely responsible for the content of this research.
The result of this research does not constitute investment advice
or an invitation to conclude certain stock exchange transactions.

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MULTITUDE SE

WKN A1W9NS ISIN FI4000106299