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Sdiptech: Increasing multiple arbitrage - Nordea

Sdiptech will present its Q4 2020 report on 11 February. We believe the quarter has been dominated by the company's largest acquisition ever, GAH (annual sales of SEK ~314m). We look forward to the new margin guidance which should be announced in conjunction with the Q4 report. We expect the new guidance to land between the current margin guidance and the lower previous guidance, as we believe the company is benefitting from pent-up demand.

In the longer term, we expect Sdiptech to continue driving EBITA growth organically, benefitting from investments into infrastructure, and by further acquisitions of technical niche companies. We adjust our multiple-based fair value range to SEK 230-285 (165-205).

Marketing material commissioned by Sdiptech.
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