Original-Research: Multitude AG (von NuWays AG): Buy
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Original-Research: Multitude AG - from NuWays AG
07.11.2025 / 09:00 CET/CEST
Dissemination of a Research, transmitted by EQS News - a service of EQS
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Classification of NuWays AG to Multitude AG
Company Name: Multitude AG
ISIN: CH1398992755
Reason for the research: Update
Recommendation: Buy
from: 07.11.2025
Target price: EUR 12.50
Target price on sight of: 12 months
Last rating change:
Analyst: Frederik Jarchow / Julius Neittamo
Stable Q3 ahead // On track to overachieve guidance
Next Thursday, Multitude will publish Q3Ž25 figures. Overall, we expect
profitability to come in very solid, thanks to the company's improving loan
book quality and diversified income streams. The company is clearly set to
overachieve its already increased profit guidance. Here is what to expect in
detail:
Group sales are seen up 3% yoy at EUR 67.7m (eNuW, 5% qoq). As we see
Ferratum's top-line to remain flattish, with -1% yoy, the uplift is seen to
stem from the SME business (CapitalBox), with a 5% growth yoy (eNuW, 4%
qoq), while Wholesale banking should grow strongly at 50% yoy (eNuW, +16%
qoq), albeit from a still relatively low base of EUR 5.3m.
EBT is expected to come in at EUR 7.9m (eNuW, 27% yoy), driven mainly by the
brokerage business, where we see the fee and commission income (net) with a
strong EUR 2.7m, translating into a sequential increase of 7%. As a result,
net profit is seen to come in at a solid EUR 6.9m.
With that, Multitude should be well on track to over achieve its already
increased FY25 net profit guidance of EUR 24-26m, as we are projecting net
profit figures to come in at EUR 21m for 9M'25e.
In the upcoming report, we will pay particular attention to the following:
* The overall profitability thanks to a strong brokerage business and a
high quality loan book
* The consumer banking business (Ferratum) return to a growth path
* The progress in profitability for the SME (CapitalBox) and Wholesale
Banking businesses
The brokerage business is of particular interest, as it has permited
Multitude to diversify its income streams, without carrying incremental
risks on its books. Here, Multitude earns commission income for providing
compliance, licensing, and underwriting services to support Everest
Finanse's loan origination. Thus far, the brokerage business has added a
solid EUR 4.5m to the net operating income for H1'25, where we see the
positive trend continuing.
In Q2'25, the excellent profitability was also driven by lower impairment
levels, having decreased by an impressive 18.6%, from EUR 52.1m to EUR 42.4m.
Multitude also impressed in Q2'25 with impaired loan coverage ratio coming
in at 15.61%. Given this, we see further room for improvement in the already
excellent profit margins.
In a nutshell, Multitude should continue on its growth path while delivering
very strong profitability, on the back of a diversified and high quality
business.
BUY with an unchanged PT of EUR 12.5 PT, based on our residual income model.
Mind you that Multitude is one of our NuWays Alpha picks.
You can download the research here:
https://eqs-cockpit.com/c/fncls.ssp?u=a728f50dddf44cfd513b7d6b37a2ae15
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
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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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2225676 07.11.2025 CET/CEST
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