03. September 2020 | 13:50 CET
HAEMATO, MBH Corporation, USU Software - on the right path in 2020
The year 2020 will be a special year. The Corona Pandemic has turned many industries upside down. The travel industry and restaurants, for example, have enormous challenges to overcome and many companies will not make it despite government support. However, there are also business models that have been able to continue despite the restrictions or have not experienced any significant impairments. The analysts of GBC Research have studied various companies and published their evaluations.
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ISIN: DE000A289VV1 , GB00BF1GH114 , DE000A0BVU28
Sales and earnings growth achieved
HAEMATO AG is a listed specialty pharma company and focuses on growth markets of off-patent and patent-protected drugs. The main focus is on the therapy areas oncology, HIV/AIDS, neurology, cardiovascular and other chronic diseases. In the fast growing market of aesthetic medicine HAEMATO AG focuses on the largest market for private patients. The demand for inexpensive medications, which are delivered in highest quality and always meet the demand for reliable and comprehensive medical care, will continue to grow in the coming years as the life expectancy of the population increases.
In the first six months of 2020, the company achieved revenue growth of 23.2% from EUR 94.01 million in the previous year to EUR 115.81 million. As a result of the recent 10:1 capital reduction, the number of shares was reduced to 2.29 million (previously: 22.87 million). In line with the new number of shares and the company's recent performance, analysts at GBC Research have slightly lowered the target price per share to EUR 49.00 (previously: EUR 5.00), but continue to assign a BUY rating.
Fifth acquisition announced in 2020
MBH Corporation PLC is an investment holding company with subsidiaries in the construction, education, leisure and healthcare sectors. The group brings together well established and profitable small companies with a buy-and-hold perspective. Most of these subsidiaries were acquired through an exchange of shares by the company owners for new MBH shares. Given the favorable interest rate environment, MBH has also recently started to make loan-financed acquisitions. One example is the acquisition of Robinson's Caravans in 2020, which will be settled with a five-year loan with a final cash payment on maturity.
For future acquisitions, GBC Research's analysts have primarily assumed that the company will be financed under the bond program, which will result in an increase in debt with a corresponding increase in financial expenses. On the other hand, this will lead to a significantly lower dilution effect. Since the number of outstanding shares has increased significantly from 49.2 million to 61.4 million, the result of the DCF model is subject to a dilution effect. Although the fair enterprise value calculated by GBC increases from GBP 83.65 million to GBP 95.11 million, the fair value per share decreases inversely from GBP 1.70 to GBP 1.55 due to the higher number of shares.
Earnings forecasts and price target raised
USU Software AG and its subsidiaries develop and sell software solutions for knowledge-based service management. Its range of services includes solutions for strategic and operational IT & enterprise service management. Customers are provided with an overall view of their IT processes and IT infrastructure and are able to plan, charge, monitor and control services transparently. In the field of software license management, USU is one of the leading manufacturers worldwide.
The USU Group's international customer base now includes over 1,000 companies, including Allianz, Baloise Group, BOSCH, BMW, Daimler, Deutsche Telekom, DEVK, EDEKA, Heidelberger Druckmaschinen, Jacobs Engineering, Jungheinrich, Poste Italiane, Texas Instruments, VW, W&W and ZDF. In the first six months of 2020, USU Software AG achieved sales growth of 16.1% from EUR 44.88 million in the previous year to EUR 52.10 million, despite the current situation characterized by the Covid-19 pandemic. The analysts of GBC Research have reacted accordingly and increased the share price target from EUR 19.15 to EUR 22.00, but still maintain their 'HOLD' rating.