Berenberg initiates with 'hold' rating, Street-low PT

Carnegie Clean Energy

05/10/2021 11:30

** Berenberg starts coverage on water infrastructure–related
products distributor  CNM.N  with "hold" rating and a Street-low
PT of $25, implying ~7% downside to last close
    ** Brokerage says CNM shares have rallied 35% since their
debut in July and the co announced robust Q2 results
    ** Berenberg, however, says much of this upside has already
been priced in and sees limited scope for earnings growth and/or
multiple expansion
    ** Brokerage sees decelerating growth trends following a
"banner year" in FY 2021
    ** "FY21 is shaping up to be a banner year for CNM; however,
we think as pricing tailwinds fade, margins should begin
normalizing" - Berenberg
    ** Avg rating among 11 analysts covering the stock is "buy";
Median PT is $32 - Refinitiv data
    ** CNM shares rose 13.5% since their debut 

 (Reporting by Aniruddha Chakrabarty)
 ((aniruddha.c.thomsonreuters.com@reuters.net))