BofA upgrades Netcompany on demand, margins growth prospects

Netcompany A/S

07/05/2024 13:29

** BofA Global Research upgrades Netcompany Group A/S
 NETCG.CO  to "buy" from "neutral", noting near-term growth
drivers for the Danish IT services provider
    ** BofA says it sees improving end-market trends for
company, especially in Denmark, with better demand, contract
ramp-ups in UK and Norway to support margin expansion
    ** "Attractive positioning in digital transformation drives
strong mid-term growth outlook," broker adds
    ** Company last week posted better-than-expected Q1 results
and kept its full-year outlook and mid-term targets unchanged
    ** BofA also expects the DKK 250 million ($36.1 million)
share buyback to support cash return in 2024-26 
    ** Out of 11 analysts covering Netcompany, five rate stock
"buy" or "strong buy", five "hold", and one "sell"
    
     


($1 = 6.9271 Danish crowns)

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