TeamViewer with 100% rally: Now bet on HelloFresh, Infineon and Aspermont?

Aspermont: GBC Research sees significant upside potential

Leading in an attractive niche, strong growth, debt-free and high cash reserves - these are the characteristics of Aspermont Limited. Nevertheless, the Australian company's shares have lost around 50% of their value since October. This can only be explained by the general weakness of small-cap stocks. After all, Aspermont's operations are running smoothly. Therefore, GBC Research recommends buying the shares of the Australian global market leader for business-to-business (B2B) media for the commodities industry. The price target is EUR 0.08. Currently, the share is trading at EUR 0.011.

Aspermont offers subscription-based content services in the mining, energy, agriculture and technology sectors. The Company has steadily increased its revenues over the last 25 quarters and had another record year in 2022 in terms of revenue, gross profit, EBITDA and net cash. The analysts are particularly impressed by the transformation to the digital XaaS business. Recurring revenues now account for 75% of total revenues of AUD 18.7 million (2021: AUD 16.10 million). Aspermont is growing at double-digit rates across all XaaS KPIs. Notably, average revenue per subscriber rose 28% to a record AUD 1,538. Then, in the current year, net income is expected to post a significant surplus of EUR 1.13 million. In 2024, GBC expects Aspermont to grow to AUD 29.26 million in revenue and AUD 3.18 million in net profit. Currently, the Company is valued at AUD 41 million. The full GBC report is available for download here more-ir.de/d/26469.pdf.

HelloFresh: JP Morgan upgrades

HelloFresh's share price has also disappointed in recent months. However, in recent weeks it has recovered from its low for the year of below EUR 16, and yesterday it climbed by over 3% to over EUR 23. The trigger for the price jump was JP Morgan. The analysts of the US bank upgraded the HelloFresh share from "underweight" to "overweight". The valuation is now attractive again, and the expansion of the business model to include the delivery of ready-to-eat meals is correct. The demand in the cooking box business is manageable. Although there are cannibalization effects, the bottom line is that growth should regain momentum. Overall, the risk-reward ratio has improved. Therefore, the analysts raised their price target from EUR 18 to EUR 27.

Deutsche Bank sees considerably more upside potential. The analysts had renewed their buy recommendation for the HelloFresh share at the beginning of April. The analysts expect 2023 to be a "transition year". In the long term, the prospects are positive. The price target of the analysts is EUR 36.

Infineon: Over 30% price potential

The Infineon share has gained around 20% in the current year. And analysts see further upside potential. Warburg Research recently raised its price target for the German chip group from EUR 45 to EUR 48 and confirmed its buy recommendation. UBS also raised its price target from EUR 47 to EUR 49. The environment for semiconductors, for the automotive sector and industry, remains positive. Profitability is also high in a peer group comparison. The Infineon share is currently trading at around EUR 35.

Both analyst firms thus reacted positively to the increase in Infineon's forecast for the full year 2023 (fiscal year ending 30 September). According to this forecast, revenues are expected to be significantly higher than the previously expected EUR 15.5 billion. The demand for high-priced products, such as energy-saving systems made of several semiconductors, is encouraging. This would also allow higher margins to be achieved.

Infineon is doing well operationally and analysts see more than 30% upside potential. Despite the rally in big tech stocks, investors should not lose sight of small caps. Aspermont offers an attractive entry opportunity. The HelloFresh share is seen more positively again by analysts.