Munters falls on Kepler's cautious estimates for Q2 numbers

Munters AB

11/07/2024 12:12

** Shares in Munters  MTRS.ST  dip 4.9%, and pares losses
after falling as much as 6.4%
    ** Kepler Cheuvreux cut its TP to SEK 220 from SEK 250 ahead
of the Q2 report
    ** The broker doubts the Swedish air treatment solutions
provider's sales growth target of 14%, noting weakness in the
battery segment and a lack of large orders
    ** It considers Munters' operations resilient, but sees its
heavy reliance on retrofit and replacement businesses as a
potential risk
    ** Expects orders to be flat y-o-y, around 7% below the
consensus number
    ** Says Munters' prioritisation of growth is currently
generating costs, which may hold the target of 14% EBITA margin
    ** Pareto analyst attributes the fall in shares to the note
from Kepler, which it believes reflects investor sentiments

 (Reporting by Anna Chaberska)
 ((Anna.Chaberska@thomsonreuters.com))