Hiab (AO) | Buy | Strong Q2, FY guidance raised

研报英文原文证据摘录

Hiab (AO) | Buy | Strong Q2, FY guidance raised

Hiab Buy | Target Price: EUR70.00

Company description Management

Hiab is a global provider of specialised load-handling and vocational equipment, Scott Phillips, CEO

including loader cranes, truck-mounted forklifts, tail lifts, demountables, forestry Mikko Puolakka, CFO

and recycling cranes, and, post the Labrie acquisition, refuse collection vehicles.

Key shareholdersIt serves construction, logistics, waste and recycling, forestry, infrastructure and Free float 60.00%

public-sector clients through a portfolio of leading brands and an extensive Wipunen varainhallinta oy 14.10%

dealer network, complemented by a growing high-margin service and Mariatorp Oy 12.30%

aftermarket business. Pivosto Oy 10.70%

Investment case Valuation methodology

Hiab is a global leader in specialised load-handling equipment Our DCF yields a fair value of EUR73/share with 5.2% sales CAGR

with strong positions across e.g. loader cranes. Its products are and 5.2% EBITDA CAGR (2027–35E), a WACC of 7.7%, and 2%

used in mission-critical applications, supporting pricing power, terminal growth.

customer loyalty and structurally higher margins. Our multiple-based yields a EUR67/share due to Hiab’s

More than 350,000 installed units support a growing service structurally higher margins, larger service business, stronger

business, which accounts for c.30% of sales and provides cash generation and lower cyclicality versus machinery peers.

recurring, less cyclical revenues with attractive profitability and We use an equally weighted blend of both methods.

cash generation. Risks to our rating

The acquisition of Labrie strengthens Hiab’s North American A weaker-than-expected industrial cycle, slower service growth,