SB1 Markets reiterates its Buy rating on chicken producer Scandi Standard and raises the price target to SEK 190 from SEK 180.
Ahead of Q3, the research house expects adjusted EBIT of SEK 206 million, 6 percent below consensus, as higher feed costs weigh on Ready-to-cook (RTC). However, the headwinds are considered temporary.
Ready-to-Eat (RTE), Lithuania and the acquisition of Glenhaven are expected to lift EBIT per kilo from SEK 2 in 2025 to SEK 3.1 in 2028. SB1 is also raising the valuation multiple following the completed financing of Glenhaven.
