TP ICAP Midcap starts LU-VE at 'buy' on data-centre growth, expansion in US, China
12/12/2025 11:45
** TP ICAP Midcap starts Italian heat-exchanger and cooling-equipment maker LU-VE LUVE.MI at "buy", citing rising demand for data-centre cooling and the group's expanding capacity in China and the U.S., and sees about 27% upside ** The broker says LU-VE is well positioned in mission-critical applications such as data centres, nuclear facilities and cold-chain infrastructure ** It sets a 50-euro ($58.63) PT and highlights the group's global footprint, including recently doubled capacity in China - supported by government incentives - and an upcoming U.S. manufacturing site as key growth drivers ** "We believe LU-VE can continue its growth path by leveraging engineering capabilities and its reliability track record to gain traction in new industrial segments," the broker says ** Cooling is one of the last hardware elements in a data centre that software cannot replace, and because it represents only about 1% of total capex, operators will always buy reliable equipment rather than try to innovate around it, TP ICAP Midcap Equity Research analyst Michele Mombelli says ($1 = 0.8528 euros) (Reporting by Laura Contemori) ((Laura.contemori@thomsonreuters.com))