Overall demand weakness, combined with customer-specific problems, led Scanfil to downgrade its 2024 guidance in June. Order intake did not improve as expected during Q2, and demand will likely remain weak for Q3 2024 as well. We forecast 17% lower revenue for Q2 and -9% for 2024 y/y. Scanfil is trading at a discount to its peer group's median valuation and the situation could remain as long as earnings growth is absent. We keep our fair value range for Scanfil of EUR 7.7-9.5 intact, based on three equally weighted valuation approaches (DCF, EV/EBITDA and P/E). Marketing material commissioned by Scanfil Oyj.
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