EFN recommends buying outdoor company Thule and sees potential for the share price to reach SEK 300 over a couple of years, corresponding to around 50 percent upside.
Analyst Ture Wester highlights the company’s strong market positions, high profitability and historically stable margins. The share is valued at 17 times this year’s expected earnings and 15 times next year’s, below the historical range of 20–30 times earnings.
“Thule is one of the few consumer companies that deserves to be called a quality company. Now, before the winds change, is the time to dare to pick up the share. While institutions are dumping shares, all one has to do is reinvest the generous dividend and thereby accumulate even more. You have to dare to believe in the sun even when it is not shining. Buy Thule,” EFN concludes its analysis.
