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RIEN: Lower Discount Rate And Improved Margins Will Drive Share Price Upside

Update shared on 25 Nov 2025

Fair value Increased 0.091%
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AnalystConsensusTarget's Fair Value
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1Y
-96.4%
7D
-1.1%

Analysts have slightly raised their price target for Rieter Holding to CHF 3.68. They cite a lower discount rate and improved profit margins as key factors offsetting marginally lower projected revenue growth.

What's in the News

  • Rieter Holding AG revised its earnings guidance for full year 2025, lowering expected sales to around CHF 700 million from the previously stated range of CHF 750 to 800 million, but maintaining an operating EBIT margin at the lower end of the 0% to 4% range (Corporate Guidance).
  • The company provided sales guidance for Q4 2025, expecting sequential sales growth within the year, though with slightly lower sales compared to Q4 2024 (Corporate Guidance).
  • Rieter Holding completed a Follow-on Equity Offering, raising CHF 400.66 million through a rights offering of 116,809,075 common shares at CHF 3.43 per share (Equity Offering).
  • A Special/Extraordinary Shareholders Meeting is scheduled for September 18, 2025, in Winterthur, Switzerland (Shareholders Meeting).
  • Additional filings for equity offerings include a CHF 400.66 million rights offering and a CHF 77.40 million subsequent direct listing (Equity Offering).

Valuation Changes

  • Consensus Analyst Price Target: Increased slightly from CHF 3.68 to CHF 3.68, reflecting minor model adjustments.
  • Discount Rate: Decreased significantly from 8.87% to 7.49%, which suggests lower perceived risk and a higher present value for future cash flows.
  • Revenue Growth: Reduced modestly from 28.04% to 26.92%, which indicates slightly lower expectations for sales expansion.
  • Net Profit Margin: Improved from 7.48% to 7.81%, pointing to better projected profitability despite lower revenue growth.
  • Future P/E Ratio: Declined from 0.16x to 0.15x, reflecting adjusted earnings expectations relative to price forecasts.

Disclaimer

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