In the near-term, Tallink’s fortune depends on the development and political responses to covid, as this will determine passenger demand. If the number of covid cases* per 100K inhabitants (cases) converge around twenty in the Baltic Sea region, travel restrictions become more a question of politics than covid prevention.
The listed private equity fund, INVL Technology’s Q2 provided additional proof that tech can grow during a pandemic as both sales and profit increased in Q2. We make minor estimate adjustments but raise our Base case fair value price on the back of higher software peer multiples.
Tech keeps growing Read More »
The Q2 report revealed excellent preparedness for the tough covid quarter, calming our main concerns. Upcoming quarters will be challenging as the government support tapers off, but we believe management has demonstrated they can navigate through tough conditions.
Excellent Q2 preparedness Read More »
To make EUR 6.8m in operating profit when the economy was shut down for almost half the quarter shows Covid-19 resilience in our view. The acquisition of ABC Supermarkets provides growth and can offset the negative effect of Lidl. We keep our dividend forecast implying a yield of 6%.
Covid-19 resilience proved again Read More »
The Q1 report was “ok” but focus is on the summer high season. If the summer is decent (our Base case), we believe the company may not need to use the full government loan amount. If the summer is weak, then the government loan should be sufficient but additional financing need cannot be excluded.
Despite challenging Covid-19 effects, Q1 sales and EBITDA grew. Q2 will be even more challenging but we believe the company is well-prepared with liquidity and cost cutting measures. Our Sum-ofthe-parts valuation indicate an upside, but we recognize the market’s focus will be on the upcoming tough quarters.
Well Prepared for Q2 Read More »
Tallinna Kaubamaja’s (TKM) Q1/20 signaled resilience thanks to its largest segment, Selver (Food retail). Online sales also offset some negative effects from non-food segments. Overall, the report was not as bad as feared.
Food retail offset Corona Read More »
Tallink’s Q4/19 profit was the best in 5 years. However, focus is on Corona. The negative pax effect is expected to be substantial, but there is also a positive oil price effect. We lower our estimates due to Corona, but still see net profit and dividends.
Solid report – focus on Corona ! Read More »
Tallinna Kaubamaja (TKM) has potential to increase profits substantially by expanding its Car trade operations into Latvia and Lithuania. With food retail as a base, the TKM share offers a combination of yield and growth.
Car trade potential Read More »