Deutsche Bank cuts Comet Holding price target to CHF330

Published 07/03/2025, 13:10
Deutsche Bank cuts Comet Holding price target to CHF330

On Friday, Deutsche Bank (ETR:DBKGn) analysts adjusted their expectations for Comet Holding AG (SIX:COTNE) (COTN:SW), lowering the price target to CHF 330 from CHF 360, but maintaining a Buy rating on the stock. The revision follows Comet’s release of a weaker-than-anticipated outlook for 2025. The company now projects sales to reach between CHF 480 million and CHF 520 million, translating to a year-over-year growth of 8-17%, which is notably below the previous consensus of 21% growth. This new forecast aligns more closely with Deutsche Bank’s revised expectations of 12% growth, down from their initial projection of 15%.

The Swiss firm’s profitability guidance also fell short of expectations, with anticipated EBITDA margins ranging from 17-20% for the fiscal year 2025. This figure is 300 basis points below the midpoint of market consensus. The lower profitability is attributed to significant investments in research and development (R&D) and marketing efforts for the ramp-up and commercialization of new products like Synertia and the CA20.

Despite these challenges, there is a silver lining as Synertia is expected to receive its first high-volume orders in 2025, with a notable client, AMAT, according to Deutsche Bank’s analysis. The CA20, on the other hand, is likely to become more relevant in 2026. These new products are anticipated to contribute at least 5% to the overall sales growth forecasted by Comet, and they are projected to significantly boost profit margins in both the Plasma Control Technologies (PCT) and the X-Ray Systems (IXS) divisions over the medium term.

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