Rosenbauer International AG Sees Positive Outlook, NuWays AG Recommends BUY

NuWays AG has issued an update on Rosenbauer International AG, affirming a BUY recommendation with a target price of €54.00 over 12 months. Analyst Christian Sandherr highlighted Rosenbauer's significant role in innovating the firefighting industry, particularly through electric vehicles and digital solutions. Rosenbauer's efforts towards creating a safer, climate-friendly, and efficient firefighting future, including partnerships for early wildfire detection using satellite systems, underscore the company's trajectory towards growth.

The report details Rosenbauer's strategic advancements such as the RDS Connected Command software and collaboration with German aerotech start-up OroraTech. These moves have notably contributed to the company's Customer Service segment, anticipated to rise by 7.0% in FY24e. The push towards electrification with models like RT and PANTHER electric is also emphasized as cities increasingly restrict combustion engines, projecting electric vehicle sales to constitute 50% of Rosenbauer's sales by 2030.

NuWays AG expects Rosenbauer's preliminary FY23 order backlog of €1.79bn to drive revenue growth in FY24e, along with improved supply chain dynamics and increased demand for Rosenbauer’s more profitable electric vehicles. The analysis suggests a promising financial outlook for Rosenbauer, with an improving EBIT margin forecasted for FY24e. Despite challenges, the efforts and strategic direction of Rosenbauer affirm NuWays AG's BUY rating and positive outlook on the company's stock.