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Gofore: Still managing the margin - SEB

Gofore again demonstrated how to defend above-peer margins in a soft market in Q2. We now see flat 2024 EBITA y/y. While it seems the market is not turning any more sour, we believe the recovery is likely to be slower than we previously expected. However, thanks to solid cost management, our profit estimates rise slightly. The share is now trading at a cycle bottom EV/EBITA multiple of <12x. Our fair value range is unchanged at EUR 26-29.

Gofore again demonstrated how to defend above-peer margins in a soft market in Q2. We now see flat 2024 EBITA y/y. While it seems the market is not turning any more sour, we believe the recovery is likely to be slower than we previously expected. However, thanks to solid cost management, our profit estimates rise slightly. The share is now trading at a cycle bottom EV/EBITA multiple of <12x. Our fair value range is unchanged at EUR 26-29.
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