The Point for Europe

Research evidence excerpt

The Point for Europe

implementation of VBP 2.0 in China, which we see as transient in nature. We

expect the market to react positively to this upgrade today, although we continue

to see downside risks to STMN's mid-term 10% pa rev. growth ambition, in

particular on China and clear aligners; Sell.

Veronika Dubajova | Giang H Nguyen, CFA | Harry Shrives Ph.D., CFA

CVC Capital Partners Group (CVC.AS) - Feedback From CVC Secondaries Deep

Dive - Strong Growth Outlook

CVC provided a helpful update on the outlook for its Secondaries business, which

is taking share in a fast-growing market, having grown FPAUM at a 17% CAGR

since 2021 to €15.7bn. While no new targets were announced, we appreciated the

added colour and came away reassured on the quality of the franchise and the

outlook for what is an important growth pillar of the CVC equity story. We have a

Buy rating on CVC shares, which is our top pick among European asset managers.

We see significant value, given a highly undemanding valuation (12x comparable

FY28 FRE, at a 35-40% discount to global alts), strong fundamentals, double-digit

FPAUM growth (that we believe investors can have high conviction on), and

significant upside to consensus FY28E earnings. See our recent Deep Dive for more

details on our thesis: Global Alts Are Discounted But Volatility Means Growth

Outlook Less...

Nicholas Herman

Elekta AB (publ) (EKTAb.ST) - CMD highlights MT drivers, but we remain

skeptical on intensifying competition; Sell

We attended Elekta CMD in Stockholm (first-take here), where management set

out drivers underpinning its mid-term guidance to FY28/29. Key takeaways: 1) We

see MSD revenue 3-year CAGR guidance as ambitious given recent order book

trends (ie LSD declines) and intensifying competitive landscape; 2) we are