Brokerage house Concorde recommends BUY for Romanian telco Digi
Based on H1 robust financial results announced on August 14, brokerage house Concorde issued a BUY recommendation for the shares of the Romanian telecommunication operator Digi Communications (BVB: DIGI), registered in the Netherlands but operating in Romania, Spain and Italy.
The 12-month target price is RON 47, which implies a 35% potential gain compared to the current market price (RON 34.8).
After exceptional revenues in 2022 in the context of the sale of operations in Hungary and a good start to 2023, Digi reported total revenues of EUR 809 million in H1, 12.9% more compared to the same period last year. The pretax EBITDA earnings rose by 14.2% y/y to EUR 279.5 million.
Digi Communications, registered in the Dutch jurisdiction, was listed on the Bucharest Stock Exchange (BVB) in the spring of 2017 and, at the last closing price of RON 34.8, has a market capitalization of RON 3.48 billion (just over EUR 700 million).
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