Redeye takes a positive view on 4C's Q2 report, which delivered a stronger-than-expected topline alongside solid quarterly profitability, the latter further supported by the cost-saving initiative now in full effect. Contract-asset-to-cash conversion and free cash flow came in somewhat weaker than we had hoped. However, these concerns are eased following the ongoing rights issue and the CEO's indication that stronger cash conversion should begin in the coming quarters. We slightly raise our traditional base case to SEK10.5 (9.5) while presenting our new Fair Value of SEK16.1; the stock screens as “Cheap”.
LÄS MER
