Barclays ups Nemetschek on earnings boost from subscriptions, GoCanvas purchase
07/10/2024 10:18
** Barclays raises Nemetschek NEKG.DE to "overweight" from
"equal weight" as it expects the upcoming subscription
transition and acquisition of GoCanvas to boost the German
software developer's earnings
** The group's transition to a subscription model should
turn into a tailwind in 2025, with expected 20% growth in its
construction software business between 2025 and 2028, the broker
says
** It adds the acquisition of GoCanvas seems like a good
starting point to build out a comprehensive suite of products to
address low productivity/digitalisation in construction
** Barclays expects 15-17% organic growth for the group
between 2025 and 2028
** Out of 22 analysts covering Nemetschek, six rate it
"strong buy" or "buy", 13 "hold", and three "sell" or "strong
sell"
(Reporting by Isabel Demetz)
((Isabel.demetz@thomsonreuters.com))