Original-Research: Nynomic AG (von NuWays AG): Buy
^
Original-Research: Nynomic AG - from NuWays AG
13.03.2025 / 09:01 CET/CEST
Dissemination of a Research, transmitted by EQS News - a service of EQS
Group.
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.
---------------------------------------------------------------------------
Classification of NuWays AG to Nynomic AG
Company Name: Nynomic AG
ISIN: DE000A0MSN11
Reason for the research: Update
Recommendation: Buy
from: 13.03.2025
Target price: EUR 34.50
Target price on sight of: 12 months
Last rating change:
Analyst: Christian Sandherr
Q4 prelims in line, returning to growth in FY25; chg. est.
Topic: Nynomic released preliminary Q4 figures largely in line with
expectations and a FY25 guidance, which reflects a return to growth. Yet,
the expected FY25 growth guidance fell short of market expectations due to
ongoing macroeconomic headwinds.
Preliminary Q4 sales stood at EUR 30.5m, down roughly 12% yoy, as the trends
witnessed during the first three quarters of the years have not reversed (as
expected). For instance, Nynomic had to deal with a broad reluctance in
regards to placements of new orders as customers remained cautious about
shortterm economic developments. Within Clean Tech, customers in traditional
silicon-based sectors are experiencing delays in new projects, as well as
upgrades to existing systems, due to changes in the AI and memory markets,
leading to postponements/delayed product call-offs. FY24p sales came in at EUR
102.5m, a 13% yoy decline. The order book at the end of Q4 stood at EUR 48m
(-12% yoy).
As a result the negative operating leverage, the preliminary Q4 EBIT
decreased 66% yoy to EUR 2.4m with a margin of 7.8% (-12.9pp yoy). FY24p EBIT
was down 51% at EUR 7.5m.
Management released a conservative FY25 guidance, expecting EUR 105-110m sales
and EUR 8.5-10m EBIT, which came in below market expectations of EUR 123m sales
and EUR 15.8m EBIT. This is the result of a rather conservative approach by
management following last year's guidance cut and continued significant
uncertainties across the group's end markets.
Despite continued short-term headwinds, management remains confident to be
able to reach the mid-term guidance of at least EUR 200m sales and a 16-19%
EBIT margin. Next to a return to strong organic growth (~ 10% p.a.), meeting
the mid-term targets will be subject to acquisitions (EUR 45m sales when
assuming 10% organic CAGR from 2026e onwards).
Organic growth should be stemming from a broad recovery of core end markets
such as semiconductors, medical devices and pharmaceuticals, the group's R&D
efforts bearing fruit (management mentioned a well-filled product
development pipeline) and recent promising product launches. For instance,
LayTec announced a strategic partnership, supplying advanced optical
inspection tools for quality assurance in a state-of-the art thin film PV
production line (perowskite solar glass). Last year, m-u-t launched the
LabScanner Plus, a bulk-testing tool for pharmaceutical companies and in
2023 real-time analysis within a tablet press in cooperation with FETTE.
Acquisitions: During the earnings call, management highlighted to be far
along several M&A processes and mentioned confidence in the ability to close
add-ons this year. Thanks to its strong balance sheet, the company should be
able to handle a larger acquisition (eNuW: more than EUR 10m sales) with a
focus on technological and/or geographical diversification.
Conclusion: With macroeconomic headwinds likely to persist throughout FY25,
Nynomic looks set to grow slower than management's long-term annual organic
growth expectation of roughly 10%. Yet, with ongoing R&D efforts and a
strong project pipeline, the company should be well-positioned to reap the
benefits once end markets recover. We confirm our BUY rating with a new EUR
34.5 PT (old: EUR 44) based on DCF.
You can download the research here: http://www.more-ir.de/d/31962.pdf
For additional information visit our website:
https://www.nuways-ag.com/research-feed
Contact for questions:
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
++++++++++
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.
++++++++++
---------------------------------------------------------------------------
The EQS Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
Archive at www.eqs-news.com
---------------------------------------------------------------------------
2099836 13.03.2025 CET/CEST
°