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SINCH: Share Buybacks Will Support Stronger Future Earnings Per Share

Digital Transformation And Omnichannel Trends Will Spark Market Evolution

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SINCH
AnalystHighTarget
Not Invested
Published 10 Sep 2025

Update shared on 12 Dec 2025

Fair value Increased 4.55%
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AnalystHighTarget's Fair Value
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1Y
46.5%
7D
7.7%

Analysts have modestly raised their price target for Sinch from $44.00 to $46.00, citing a slightly higher long term valuation multiple, despite marginally softer assumptions for revenue growth and profit margins.

What's in the News

  • Completed share buyback of 15,279,642 shares, equal to 1.81% of outstanding capital, for a total consideration of SEK 519 million under the program announced on August 12, 2025 (company disclosure)
  • The buyback window ran from July 24, 2025 to September 30, 2025, signaling continued capital return to shareholders and management confidence in the equity valuation (company disclosure)
  • The finalization of the SEK 519 million repurchase provides incremental support to earnings per share metrics through a lower share count in future reporting periods (company disclosure)

Valuation Changes

  • Fair Value: risen slightly from SEK 44.0 to SEK 46.0, reflecting a modestly higher long term valuation.
  • Discount Rate: increased marginally from 7.01 percent to 7.10 percent, implying a slightly higher required return.
  • Revenue Growth: edged down from 2.63 percent to 2.59 percent, indicating slightly more cautious top line expectations.
  • Net Profit Margin: reduced modestly from 7.32 percent to 7.00 percent, signaling a more conservative profitability outlook.
  • Future P/E: risen slightly from 19.9x to 20.6x, pointing to a somewhat higher valuation multiple applied to forward earnings.

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Disclaimer

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