Here is the new company report after Q1. ![]()
Translated into Finnish from @lucas.mattsson’s English report. ![]()
Sitowise’s Q1 results were mixed, as the company’s revenue developed as expected, but profitability fell short of expectations. In our opinion, the persistently weak profitability highlights the importance of increasing revenue, and it is also a prerequisite for strengthening cash flow and thus the financial position. The share’s valuation is high relative to the low short-term earnings level, and this, combined with the financial position, creates a weak risk-return ratio in our view. We therefore reiterate our Reduce recommendation and revise our target price to 2.40 euros (previously 2.50 euros) mainly due to forecast calculations.