IAR Systems: First glimpse of security traction - DNB

Delving into the Q3 results, we note adj. EBIT grew 41% YOY (in line with our forecast), lending credence to our case that IAR is three quarters into a profitable growth turnaround. Although perpetual licence sales are not immune to weakening IT spend, we are encouraged that its long-awaited security offering is starting to ramp up, suggesting leverage to 10–15% organic sales growth ambitions. We reiterate our fair value of SEK140–250 on broadly unchanged 2023–2024 forecasts, on which IAR is trading at an EV/EBIT of 13–10x.

Länk till analysen i sin helhet: https://www.dnb.no/seg-fundamental/fundamentalweb/GetReportSpon.aspx?file=CMPSP_203085.pdf