Affärsvärlden gives the alarm company Verisure a Buy rating following the sharp share-price decline. The stock is valued at around 11 times next year’s operating profit, which is considered attractive for a highly profitable growth company with a subscription-based business model.
At the same time, risks related to the accounting and net debt of just under 5 times operating profit are highlighted. However, Affärsvärlden sees few concrete warning signs, as customer churn is stable, the company continues to grow and cash flow has improved.