Mersen (MRN FP) France
Materials
This leading manufacturer of carbon and graphite products can grow profits by more than 50% by 2025 - many of MRN's products are essential to the energy transition which will help drive strong organic growth over the next 3 years (highlights major capacity investment in the US, Solar and EV exposure, as well as benefitting from its expertise in semiconductor manufacturing). Julien Onillon sets a target price of €45 (45% upside), valuing the company at 1.2x Sales. At this price MRN would trade on a EV/EBITDA 2024 multiple of 7x - a slight premium vs. European competitors is warranted given the group’s strong reputation and better prospects.
Edition: 134
- 29 April, 2022