Analysts of BH BGŻ, in the report of 7th August, estimated the price per one share of Inter Cars at PLN 160.05. Recommendation is "neutral".

On the day of publication of the report the company's share price was PLN 167.

"On the basis of our assumptions the implied price estimation of Inter Cars share price is close to market value, however, long-term perspective is most optimistic" - can be read in the report of Brokerage House BGŻ.

According to analysts, the environment in which Inter Cars operates favours further increases, thanks to growing market and its high fragmentation.  They also see the potential for further growth in growing number of cars in Poland.

Analysts also pointed out that the Polish market of automotive spare parts now has a very high level of competition, which is a high entry barrier for new market players and contributes to the fact that more weak entities leave the market.

Despite positive assessment, the report adopted conservative forecasts regarding revenue growth.

"We decided to adopt very conservative assumptions for 10-year Compound Annual Growth Rate, which in our forecasts is kept at around 7 percent, while historically (2003-2013) the average growth rate was almost three times higher, and only in 2012 revenue growth rate has fallen below 10 percent." - says the report. (PAP).

Source: bankier.pl
18-08-2014

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