A new company report on Bittium from Juha following the Q1 results. 
We reiterate our reduce recommendation for Bittium and adjust our target price to EUR 32.0 (previously EUR 34.0). The Q1 result clearly missed forecasts, as product deliveries in the Defense & Security segment remained quite low in the early part of the year. There is plenty of market activity, but no significant orders were secured in the beginning of the year, except for the Indra project. In our view, new significant orders are only a matter of time amid the modernization wave in tactical communications. However, our forecasts require these orders, and while waiting for them, the stock’s stretched valuation may cause downward pressure.