Combined heat and power plants, container ships, eco funds, software solutions - the Scale segment offers a colorful range of investment opportunities. Two new members have joined, and another is likely to follow. This time, the three questions go to Thomas Hoffmann from artec technologies.
20 April 2022. FRANKFURT (Börse Frankfurt). The Scale segment continues to work its way up after the sharp setback at the beginning of March. On Wednesday morning, the Scale All Share, which tracks all Scale members, was back at 1,761 points. At the March low, it was briefly 1,602 points. Since the beginning of the year, there is still a minus, but on a view of two years a full plus of almost 80 percent. The Scale 30 selection index is currently at 1,464 points.
The drivers are the familiar ones: The shipping company Ernst Russ AG (DE000A161077) has the best performance over twelve months. It is followed by Deutsche Rohstoff AG (DE000A0XYG76), financial services provider JDC Group (DE000A0B9N37), Hamburg-based media group Edel SE (DE0005649503) and fund provider Ökoworld (DE0005408686). In the past three months, Formycon (DE000A1EWVY8), Cliq Digital (<DE000A0HHJR3>), Daldrup & Söhne (DE0007830572) and 2G Energy (DE000A0HL8N9) have performed particularly well.
"2G cogeneration plants increasingly profitable".
Combined heat and power plants can be important building blocks for the energy turnaround, and scale member 2G Energy from Münsterland, Germany, is contributing to this. Shares in 2G have risen from €105 to €120.60 this year. 2G had announced good figures for 2021 at the end of March: The company - one of the leading international manufacturers of gas-fired cogeneration plants - increased sales by almost 8 percent to 266 million euros. Earnings before interest and taxes (EBIT) improved by 9 percent to just under 18 million euros. In 2022, the upward trend is expected to continue.
Some analysts still see upside potential. High natural gas prices are increasing the profitability of biogas, sewage gas and mine gas projects, explains First Berlin, for example. Especially in biogas plants, 2G has a strong position, they say. After the 2021 figures were announced, analysts confirmed the sales estimate for 2022, but reduced the EBIT margin forecast due to the strong price increases for many upstream products. 2G will not be able to pass on the price increases in full, they say. Nevertheless, they now trust the stock at 123 euros after 120 euros so far and advise "add." SMC sees the company still on an intact growth path and even gives a price target of 140 euros. Due to the price turbulence on the natural gas market, the use of biogas, sewage gas or landfill gas should increase more strongly and provide further demand impulses, explain the analysts.
Newcomers Pyrum and Beaconsmind - EV Digital in the starting blocks
The scale segment itself is also on course for growth: There are two newcomers to report: since the end of March, Pyrum Innovations AG (DE000A2G8ZX8) has been a Scale member. The first price of the share was 97 euros, currently it is 90 euros. The company is already listed on the Oslo Stock Exchange, and its shares are now tradable here as a result of the dual listing. Pyrum Innovations operates in the recycling market with a patented pyrolysis technology and plans, designs and operates recycling plants. The focus is on the recycling of used tires.
The second newcomer is Beaconsmind (CH0451123589), a Scale member since April 13. This is also a secondary listing; the company is already listed on Euronext Paris. The initial price of the stock was 12 euros, and it is currently 12.30 euros. Beaconsmind, based in Stäfa, Switzerland, says it is a pioneer in location-based marketing (LBM) software for retailers. It helps retailers* target their app users* and customers in brick-and-mortar stores in real time and run successful location-based marketing campaigns.
In addition, the shares of EV Digital Invest AG, operator of the online real estate investment platform "Engel & Völkers Digital Invest", are to be traded in the Scale segment from May 3. Between April 19 and presumably April 27, the share can be subscribed. The price range has been set at 13.50 euros to 14.50 euros per share.
Lloyd Fonds punished too much?
Things are not going quite so well this year for the fund company Lloyd Fonds (DE000A12UP29). The share price, which had however previously risen sharply, fell from 15 to below 10 euros. Analysts consider this to be far too little: according to SMC Research, Lloyd Fonds 2021 has made important progress in its market positioning with the major acquisition of BV Holding AG and the investment in FinTech growney. The share offers - despite a difficult market environment - high upside potential. The analysts name a price target of 16.80 euros and confirm the "Buy" rating. Warburg Research has reduced the estimates for 2022 and 2023 and lowered the price target from 18.50 to 16.50 euros, but maintains its "Buy" recommendation. Lloyd Fonds increased net income in 2021, but sales and EBITDA remained below the analyst's estimates.
artec as "Speculative Buy
SMC Research also sees a lot of room for improvement for artec technologies (see interview). artec has invested a lot in recent years, especially in software platforms for government surveillance technology, and has thus built up a good position. For the time being, the price target remains at 4.50 euros (currently 2.48), the verdict continues to be "Speculative Buy" due to the above-average forecast risk.
Further recommendations for scale shares
Analyst/Bank | Scale-Company | Recommendation | Target price in Euro | Current price in Euro |
GBC | EQS Group | Buy | 49,55 | 32,00 |
GSC Research | EQS Group | Buy | 45,00 | 32,00 |
SMCResearch | Mensch und Maschine | Strong Buy | 71,00 | 53,60 |
First Berlin | Formycon | Buy | 89,00 | 63,90 |
Montega | Helma Eigenbau | Buy | 86,00 | 50,60 |
Montega | Nynomic | Buy | 52,00 | 35,75 |
Montega | Pantaflix | Buy | 2,00 | 1,37 |
Three questions ... this time to Thomas Hoffmann, Managing Director of artec technologies.
The artec share has already experienced quite a few ups and downs, but has developed quite stably in the difficult stock market year 2022. What is the reason for this?
We have come through the Corona pandemic relatively well, have a very solid equity situation and are active in future markets. artec specializes in the collection and analysis of data from a wide variety of sources - from cameras and TV to social media. Our customers are national and international broadcast companies, media houses, security authorities and industrial companies. For example, our established security systems contribute significantly to the detection and prevention of crime.
You offer software and system solutions for many areas. Where do you see the greatest potential for the future?
Business with security authorities is our growth engine. MULTIEYE BOS Manager in particular has a lot of potential - a cloud-based management platform for security authorities to connect mobile task forces, situation centers and control centers. Since 2020, the MULTIEYE BOS Manager has been successfully in use at Germany's largest security authority. The interest of other authorities is great. They often use technically outdated isolated solutions that are not compatible with each other.
From an investor's point of view: What speaks for the artec share?
Investors are investing in an innovative medium-sized company. Our cloud-based software and system solution for combating crime and terror has proven itself in practice with security authorities. In the coming years, we see considerable growth opportunities in this area in Germany and other European countries - and corresponding potential for our share.
artec technologies, based in Diepholz near Bremen, was founded in 2000 by Thomas Hoffmann and Ingo Hoffmann. The company develops and produces software and system solutions for the transmission, recording and analysis of video, audio and metadata in networks and on the Internet. The artec share has been listed on the stock exchange since 2006.
by Anna-Maria Borse
© April 20, 2022, Deutsche Börse AG
Hoffmann