Attractive entry point into quality growth story - Berenberg ups Basler to 'buy'

Basler AG

05/04/2022 09:05

** Berenberg upgrades German industrial cameras maker Basler
 BSLG.DE  to "buy" from "hold," citing recent share price
correction that offers "an attractive entry point into a
high-quality, structural growth story"
    ** With capacity additions in semiconductor manufacturing
set to continue into 2023, the brokerage sees Basler to be an
attractive early-cyclical play as a supplier into this industry
    ** Although component shortages will continue to affect
Basler in 2022, Berenberg believes that any easing of the supply
disturbances will lead to a period of substantial growth
    ** It points to the company's high order backlog and the
fact that Basler managed to grow production output by 28% in
2021, despite delays in shipments of critical components for its
products
    ** Berenberg expects Basler's Q1 results to show a clear
improvement versus Q4, and sees upside to FY22 estimates and
guidance
    ** Shares of Basler  BSLG.DE  are up 3.7% in early Frankfurt
trade
    ** Out of five analysts covering the stock, one rates it
"strong buy" and four "hold"

 (Reporting by Anastasiia Kozlova)
 ((Anastasiia.Kozlova@thomsonreuters.com))