Signify NV (LIGHT.AS): Post CMD thoughts – There‘s more to come; retain Buy

研报英文原文证据摘录

Signify NV (LIGHT.AS): Post CMD thoughts – There‘s more to come; retain Buy

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23 Jun 2026 16:23:31 ET │ 15 pages

Signify NV (LIGHT.AS)

Post CMD thoughts – There's more to come; retain Buy

CITI'S TAKE

Shares fell ~15% after today's CMD, partly on the revised dividend policy,

but we think largely on the lack of a firm timetable for potential exits of

shrinking businesses. While we have cut our forecasts, we do not see Buy

consensus changing significantly. US Professional and Connected Price (23 Jun 26 16:30) €17.83

Consumer remain undervalued within the portfolio, and while "all options

remain on the table" for conventional, OEM, and commodity Target price €25.00↓

manufacturing, the timetable is not clear. While we continue to see value, from €26.00

we find no obvious imminent catalysts. Expected share price return 40.2%

Expected dividend yield 5.4%Dividend — We have lowered our dividend forecast for 2026 by –39% to EUR

0.96/share given the new policy; on revised forecasts and based on today's closing Expected total return 45.6%

price, this translates to a dividend yield of 5.4%. Market Cap €2,186M

Changes to our forecasts — We have lowered our 2027/2028 EBITA forecasts by c. US$2,507M

–2%/–8%, but given our previously above-consensus view, we see little change to

consensus.

Valuation — We had previously valued Signify on SOTP given our expectation of Price Performance

divestments, but given the new 2029 targets on the company "as-is," we revert to a (RIC: LIGHT.AS, BB: LIGHT NA)group multiple. 0.8x 2029 EV/sales discounted to 2027 gives €25 per share. We still

take the view that US Professional and Connected Consumer are worth more than

the current market cap, but lower our TP to €25.

Martin Wilkie AC

+44-207-986-4077

Signify NV (EUR) martin.wilkie@citi.com