Campari (360) | Buy | Mixing a stronger portfolio

研报英文原文证据摘录

Campari (360) | Buy | Mixing a stronger portfolio

end, management attention, and capital should support EV/EBIT 13.5 12.1 11.0

growth, improve marketing returns, and reinforce the group’s competitive positioning. FCF yield 5.0% 6.3% 6.1%

Dividend yield 2.3% 2.8% 3.3%

▪The cost programme targets a 200bp improvement in the SG&A margin by end-2027 ND(F+IFRS16)/EBITDA 2.3 1.8 1.5

and is progressing well. Procurement savings, supply-chain efficiencies, revenue Gearing 41.9% 34.2% 28.6%

growth management, SKU rationalisation, and lower non-working A&P should help ROIC 7.4% 8.0% 8.6%

EV/IC 1.4 1.3 1.3 fund growth investments while supporting margins and cash generation.

Sector Most Pref. Sector Least Pref.

▪We forecast growth to accelerate following a modest 2026, with organic sales Campari Coca-Cola HBC

growth moving closer to mid-cycle potential in 2027-28. We also expect EBIT growth

to outpace sales growth, supported by gross margin improvement, favourable mix,

cost savings, and disciplined reinvestment in the core brands.

▪We view Campari’s valuation as compelling, with the shares trading well below

historical multiples despite improved portfolio quality, margin upside, FCF recovery,

and deleveraging potential. We raise our TP from EUR7.60 to EUR8.00, based mainly

on DCF and supported by relative multiples, and reiterate our Buy rating.

Research Framework

Investment case Valuation methodology

n Campari is one of the fastest-growing spirits companies in n We use a DCF and relative valuation multiples to determine

Europe supported by a broad portfolio and unique our TP of EUR8.00.

position in aperitifs. The company steps up focus on a n In our DCF, we use a WACC of 8.4%, a LT growth rate of

smaller number of brands to re-accelerate growth.