Hövding: Delivery hiccups, strong margin (Västra Hamnen)
Västra Hamnen Corporate Finance has released a research update on Hövding following its full-year report for 2018. The most positive news is that the company appears to have taken steps towards sustainably higher gross margin.
- Lower than expected sales in Q4 partly compensated in January
- Surprisingly strong gross margin in latest quarter
- Preparations for version 3.0 go according to plan
Hövding published results for Q4 and full year 2018 late last week. The biggest deviations from our scenario were in sales volume and gross margin, which surprised in opposite directions.
We make only minor adjustments to our valuation model at this point. We decide to keep our fair value estimate for the stock at SEK 18.00 – 25.50 per share for the time being.
The full report is available here.
The research report is prepared as part of Market Focus, Västra Hamnen Corporate Fincance's commissioned research offering.