Upcoming Dividend • May 20
Upcoming dividend of €0.27 per share Eligible shareholders must have bought the stock before 27 May 2024. Payment date: 29 May 2024. Payout ratio is a comfortable 26% and this is well supported by cash flows. Trailing yield: 2.3%. Lower than top quartile of German dividend payers (4.6%). Lower than average of industry peers (3.4%). Reported Earnings • May 16
First quarter 2024 earnings released: EPS: €0.29 (vs €0.21 in 1Q 2023) First quarter 2024 results: EPS: €0.29 (up from €0.21 in 1Q 2023). Revenue: €136.0m (down 3.4% from 1Q 2023). Net income: €14.7m (up 40% from 1Q 2023). Profit margin: 11% (up from 7.5% in 1Q 2023). The increase in margin was driven by lower expenses. Revenue is forecast to grow 4.4% p.a. on average during the next 3 years, compared to a 4.2% growth forecast for the Machinery industry in Germany. Over the last 3 years on average, earnings per share has increased by 28% per year but the company’s share price has only increased by 18% per year, which means it is significantly lagging earnings growth. Buy Or Sell Opportunity • May 07
Now 22% undervalued Over the last 90 days, the stock has risen 19% to €11.70. The fair value is estimated to be €15.00, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 35% over the last 3 years. Earnings per share has grown by 28%. For the next 3 years, revenue is forecast to grow by 4.2% per annum. Earnings are also forecast to grow by 6.8% per annum over the same time period. Announcement • Apr 28
Piovan S.p.A., Annual General Meeting, Apr 29, 2024 Piovan S.p.A., Annual General Meeting, Apr 29, 2024. Buy Or Sell Opportunity • Apr 12
Now 21% undervalued Over the last 90 days, the stock has risen 22% to €12.00. The fair value is estimated to be €15.17, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 35% over the last 3 years. Earnings per share has grown by 28%. For the next 3 years, revenue is forecast to grow by 4.2% per annum. Earnings are also forecast to grow by 6.8% per annum over the same time period. Recent Insider Transactions • Apr 11
CEO, MD & Director recently sold €178k worth of stock On the 5th of April, Filippo Zuppichin sold around 15k shares on-market at roughly €12.00 per share. This transaction amounted to 4.0% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. This was Filippo's only on-market trade for the last 12 months. Buy Or Sell Opportunity • Mar 28
Now 20% undervalued Over the last 90 days, the stock has risen 14% to €11.90. The fair value is estimated to be €14.97, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 35% over the last 3 years. Earnings per share has grown by 28%. For the next 3 years, revenue is forecast to grow by 4.1% per annum. Earnings are also forecast to grow by 6.8% per annum over the same time period. Valuation Update With 7 Day Price Move • Mar 26
Investor sentiment improves as stock rises 22% After last week's 22% share price gain to €12.00, the stock trades at a forward P/E ratio of 12x. Average forward P/E is 13x in the Machinery industry in Germany. Total returns to shareholders of 72% over the past three years. Reported Earnings • Mar 20
Full year 2023 earnings released: EPS: €0.97 (vs €0.68 in FY 2022) Full year 2023 results: EPS: €0.97 (up from €0.68 in FY 2022). Revenue: €570.5m (up 8.0% from FY 2022). Net income: €49.4m (up 43% from FY 2022). Profit margin: 8.7% (up from 6.5% in FY 2022). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 28% per year but the company’s share price has only increased by 11% per year, which means it is significantly lagging earnings growth. Buy Or Sell Opportunity • Mar 05
Now 20% overvalued after recent price rise Over the last 90 days, the stock has risen 21% to €10.80. The fair value is estimated to be €8.96, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 37% over the last 3 years. Earnings per share has grown by 28%. Valuation Update With 7 Day Price Move • Dec 20
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to €9.82, the stock trades at a trailing P/E ratio of 12.9x. Average trailing P/E is 14x in the Machinery industry in Germany. Total returns to shareholders of 130% over the past three years. Reported Earnings • Sep 13
Second quarter 2023 earnings released: EPS: €0.23 (vs €0.14 in 2Q 2022) Second quarter 2023 results: EPS: €0.23 (up from €0.14 in 2Q 2022). Revenue: €149.3m (up 15% from 2Q 2022). Net income: €12.1m (up 68% from 2Q 2022). Profit margin: 8.1% (up from 5.5% in 2Q 2022). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 30% per year whereas the company’s share price has increased by 29% per year. Reported Earnings • May 12
First quarter 2023 earnings released: EPS: €0.21 (vs €0.15 in 1Q 2022) First quarter 2023 results: EPS: €0.21 (up from €0.15 in 1Q 2022). Revenue: €141.1m (up 32% from 1Q 2022). Net income: €10.5m (up 34% from 1Q 2022). Profit margin: 7.5% (up from 7.3% in 1Q 2022). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 29% per year but the company’s share price has increased by 37% per year, which means it is tracking significantly ahead of earnings growth. Upcoming Dividend • May 08
Upcoming dividend of €0.20 per share at 2.0% yield Eligible shareholders must have bought the stock before 15 May 2023. Payment date: 17 May 2023. Payout ratio is a comfortable 29% and this is well supported by cash flows. Trailing yield: 2.0%. Lower than top quartile of German dividend payers (4.7%). Lower than average of industry peers (2.8%). Reported Earnings • Mar 23
Full year 2022 earnings released: EPS: €0.68 (vs €0.56 in FY 2021) Full year 2022 results: EPS: €0.68 (up from €0.56 in FY 2021). Revenue: €531.4m (up 87% from FY 2021). Net income: €34.6m (up 22% from FY 2021). Profit margin: 6.5% (down from 10.0% in FY 2021). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 27% per year but the company’s share price has increased by 38% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Jan 14
Investor sentiment improved over the past week After last week's 16% share price gain to €9.31, the stock trades at a trailing P/E ratio of 12.6x. Average trailing P/E is 17x in the Machinery industry in Germany. Total returns to shareholders of 67% over the past three years. Reported Earnings • Nov 16
Third quarter 2022 earnings released: EPS: €0.26 (vs €0.079 in 3Q 2021) Third quarter 2022 results: EPS: €0.26 (up from €0.079 in 3Q 2021). Revenue: €144.5m (up 118% from 3Q 2021). Net income: €13.7m (up 240% from 3Q 2021). Profit margin: 9.5% (up from 6.0% in 3Q 2021). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 27% per year but the company’s share price has only increased by 12% per year, which means it is significantly lagging earnings growth. Reported Earnings • Nov 11
Third quarter 2022 earnings released: EPS: €0.26 (vs €0.079 in 3Q 2021) Third quarter 2022 results: EPS: €0.26 (up from €0.079 in 3Q 2021). Revenue: €144.5m (up 118% from 3Q 2021). Net income: €13.7m (up 240% from 3Q 2021). Profit margin: 9.5% (up from 6.0% in 3Q 2021). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 27% per year but the company’s share price has only increased by 12% per year, which means it is significantly lagging earnings growth. Reported Earnings • Sep 10
Second quarter 2022 earnings released Second quarter 2022 results: Net income: €7.20m (down 23% from 2Q 2021). Over the last 3 years on average, earnings per share has increased by 21% per year whereas the company’s share price has increased by 17% per year. Buying Opportunity • May 07
Now 20% undervalued after recent price drop Over the last 90 days, the stock is down 19%. The fair value is estimated to be €10.34, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 4.7% over the last 3 years. Earnings per share has grown by 6.7%. Upcoming Dividend • May 02
Upcoming dividend of €0.10 per share Eligible shareholders must have bought the stock before 09 May 2022. Payment date: 11 May 2022. Payout ratio is a comfortable 18% and this is well supported by cash flows. Trailing yield: 1.1%. Lower than top quartile of German dividend payers (4.1%). Lower than average of industry peers (2.5%). Reported Earnings • Mar 28
Full year 2021 earnings released: EPS: €0.56 (vs €0.35 in FY 2020) Full year 2021 results: EPS: €0.56 (up from €0.35 in FY 2020). Revenue: €287.0m (up 28% from FY 2020). Net income: €28.3m (up 61% from FY 2020). Profit margin: 9.9% (up from 7.8% in FY 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 7% per year but the company’s share price has increased by 17% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Dec 14
Investor sentiment improved over the past week After last week's 21% share price gain to €10.00, the stock trades at a trailing P/E ratio of 22x. Average trailing P/E is 23x in the Machinery industry in Germany. Total returns to shareholders of 37% over the past three years. Announcement • Dec 14
Piovan S.p.A. (BIT:PVN) signed an agreement to acquire Sewickley Capital, Inc. for approximately $150 million. Piovan S.p.A. (BIT:PVN) signed an agreement to acquire Sewickley Capital, Inc. for approximately $150 million on December 13, 2021. The purchase price consists of an initial payment of approximately $125 million, on a cash free / debt free basis; and the payment of a potential earn-out up to a maximum of approximately $22 million, to be paid in 2024 to the extent the Target achieves certain EBITDA growth targets over the time period 2021-2023. The transaction will be financed through a mix of a new debt line amounting to €100 million ($113.2 million) and a portion of available cash. The transaction will be effected through a merger by incorporation whereby Sewickley Capital will be merged into a delaware corporation wholly owned by Piovan, with the result that IPEG will become an indirect subsidiary of Piovan. Kirk Winstead (Current CEO) and John G. Erkert (Current CFO) and the businesses’ respective management teams will remain in their roles at the helm of IPEG.
The transaction has been unanimously approved by the board of directors of Piovan and the board of directors of Sewickley Capital and has already received the consent of more than 90% of the shareholders of Sewickley Capital. The closing of the transaction is subject to the approval of US antitrust authorities which is expected by the first quarter of 2022. Pricewaterhousecoopers Business Services Srl acted as Financial advisor and Due Diligence provider to Piovan S.p.A. White & Case LLP acted as legal advisor to Piovan S.p.A. Clark Hill Thorp Reed, LLP acted as legal advisor to IPEG Inc. Reported Earnings • Nov 13
Third quarter 2021 earnings released: EPS €0.079 (vs €0.072 in 3Q 2020) The company reported a solid third quarter result with improved earnings and revenues, although profit margins were weaker. Third quarter 2021 results: Revenue: €66.9m (up 35% from 3Q 2020). Net income: €4.01m (up 10% from 3Q 2020). Profit margin: 6.0% (down from 7.4% in 3Q 2020). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 2% per year whereas the company’s share price has remained flat. Valuation Update With 7 Day Price Move • Sep 13
Investor sentiment improved over the past week After last week's 15% share price gain to €8.70, the stock trades at a trailing P/E ratio of 18.9x. Average trailing P/E is 30x in the Machinery industry in Germany. Total returns to shareholders of 120% over the past year. Reported Earnings • Sep 09
Second quarter 2021 earnings released: EPS €0.18 (vs €0.092 in 2Q 2020) The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2021 results: Revenue: €81.3m (up 63% from 2Q 2020). Net income: €9.29m (up 98% from 2Q 2020). Profit margin: 11% (up from 9.4% in 2Q 2020). The increase in margin was driven by higher revenue. Upcoming Dividend • May 03
Upcoming dividend of €0.13 per share Eligible shareholders must have bought the stock before 10 May 2021. Payment date: 12 May 2021. Trailing yield: 1.8%. Lower than top quartile of German dividend payers (3.1%). Higher than average of industry peers (1.1%). Reported Earnings • Mar 23
Full year 2020 earnings released: EPS €0.35 (vs €0.37 in FY 2019) The company reported a poor full year result with weaker earnings, revenues and profit margins. Full year 2020 results: Revenue: €225.2m (down 2.9% from FY 2019). Net income: €17.6m (down 5.7% from FY 2019). Profit margin: 7.8% (down from 8.1% in FY 2019). The decrease in margin was driven by lower revenue. Is New 90 Day High Low • Feb 11
New 90-day high: €5.71 The company is up 24% from its price of €4.61 on 13 November 2020. The German market is up 10.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Machinery industry, which is up 10.0% over the same period. Valuation Update With 7 Day Price Move • Jan 07
Investor sentiment improved over the past week After last week's 18% share price gain to €5.57, the stock is trading at a trailing P/E ratio of 16.2x, up from the previous P/E ratio of 13.7x. This compares to an average P/E of 35x in the Machinery industry in Germany. Total return to shareholders over the past year is a loss of 3.6%. Is New 90 Day High Low • Jan 06
New 90-day high: €5.24 The company is up 11% from its price of €4.70 on 08 October 2020. The German market is up 8.0% over the last 90 days, indicating the company outperformed over that time. However, its price trend is similar to the Machinery industry, which is also up 11% over the same period. Analyst Estimate Surprise Post Earnings • Nov 13
Revenue beats expectations Revenue exceeded analyst estimates by 5.0%. Over the next year, revenue is forecast to grow 8.9%, compared to a 2.4% growth forecast for the Machinery industry in Germany. Reported Earnings • Nov 13
Third quarter 2020 earnings released: EPS €0.074 The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2020 results: Revenue: €50.2m (up 3.8% from 3Q 2019). Net income: €3.64m (up 11% from 3Q 2019). Profit margin: 7.3% (up from 6.8% in 3Q 2019). The increase in margin was driven by higher revenue. Valuation Update With 7 Day Price Move • Oct 30
Market pulls back on stock over the past week After last week's 16% share price decline to €3.86, the stock is trading at a trailing P/E ratio of 11.7x, down from the previous P/E ratio of 13.9x. This compares to an average P/E of 28x in the Machinery industry in Germany. Total return to shareholders over the past year is a loss of 29%. Upcoming Dividend • Oct 19
Upcoming Dividend of €0.11 Per Share Will be paid on the 28th of October to those who are registered shareholders by the 26th of October. The trailing yield of 3.1% is below the top quartile of German dividend payers (3.7%), but it is higher than industry peers (1.8%). Announcement • Oct 16
Piovan S.p.A. (BIT:PVN) completed the acquisition of Doteco Spa. Piovan S.p.A. (BIT:PVN) agreed to acquire Doteco Spa for €22 million on October 2, 2020. At the closing, €15 million will be paid with an earn-out mechanism based on a performance calculated on the 2020-2021 EBITDA with an enterprise value cap of €22 million plus the cash position as at the end of September 2020. Piovan opted for adhoc financing of €20 million. With the acquisition, Piovan S.p.A. could combine Doteco Spa film dosing technologies with Piovan S.p.A. feeding and storage automations becoming a leader in the supply of complete plants in this field and acquiring new customers in a sector. In 2019, Doteco Spa recorded a total revenue of €19.7 million, consolidated EBIT of €2.8 million, EBITDA of €3.4 million and a positive net financial position of €6 million. The closing is expected in October 2020.
Piovan S.p.A. (BIT:PVN) completed the acquisition of Doteco Spa on October 15, 2020. Is New 90 Day High Low • Oct 12
New 90-day high: €4.80 The company is up 1.0% from its price of €4.77 on 14 July 2020. The German market is up 2.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Machinery industry, which is up 9.0% over the same period. Announcement • Oct 03
Piovan S.p.A. (BIT:PVN) agreed to acquire Doteco Spa. Piovan S.p.A. (BIT:PVN) agreed to acquire Doteco Spa on October 2, 2020. With the acquisition, Piovan S.p.A. could combine Doteco Spa film dosing technologies with Piovan S.p.A. feeding and storage automations becoming a leader in the supply of complete plants in this field and acquiring new customers in a sector. In 2019, Doteco Spa recorded a total revenue of €19.7 million and a EBITDA of €3.4 million.