Kepler Cheuvreux initiates with "buy"

JDC AG

06/11/2019 10:38

** Kepler Cheuvreux initiates coverage of Germany-based
financial services company JDC Group  A8AG.DE  with a "buy"
rating and price target of 7.7 euros
    ** The broker writes that the white-label initiative the
company launched four years ago, Allesmeins, has proven scalable
and should help JDC Group to grow its top line further -- the
launch was "a very savvy move", the broker adds
    ** The brokerage says that JDC Group should also benefit
from brokers' increasing selectivity and willingness to work
with pools
    ** It says for the company, contract volume growth will be
essential to grow its top line
    ** "This white-label outsourcing activity is the main driver
of the projected top-line growth we expect over our forecasting
horizon, as we model one significant new contract a year," the
broker writes 
    ** According to the broker, JDC Group has a solid advantage
over its commercially weaker peers, thanks to the backing of its
top shareholder, Great West Lifeco

 ((marta.frackowiak@tr.com))