And on we go. With this post, I have passed the 50% threshold, so I am very optimistic to finish this before year end. This time, two stocks qualified for the preliminary watch list. Let’s go:
136. Norbit
Norbit is a 305 mn EUR market cap company has three distinct segment of which “Oceans delivers tailored technology to global maritime markets, Connectivity provides wireless solutions for identification, monitoring and tracking, while PIR offers R&D services, proprietary products and contract manufacturing.”
The company IPOed in 2019, and contrary to the 2020 IPO vintages, the share price has done quite well:
This increase has been underpinned by strong growth in 2022, sales went up ~50% and EPS more than doubled. The company trades at 19x 2023 P/E and 13,3x EV/EBIT, which is not cheap. However, the first quarter 2023 was again super strong. I am not yet sure where that growth comes from, but this clearly looks like one of the more interesting Norwegian companies. Founders & CEO own ~20% of the company between them. “Watch”.
137. Medistim
Medistim is a 417 mn EUR market cap company that “develops, produces, services, leases, and distributes medical devices for cardio-vascular surgery in the United States, Europe, Asia, and internationally”.
The company has been growing nicely over the past 10 years and enjoys very decent margins. However, at 42xP/E and 30x EV/EBIT, a lot of future growth seems to be priced in. For valuation reasons, this is a “pass”.
138. SPAREBANKEN MØRE
Another of the 20 or so Sparebanken, Sparebanken More has a market cap of 322 mn EUR. As many of the other Sparebanken, they are quite cheap (8x P/E , 0,5x P/B), but ROE is low with 5%. “Pass”.
139. Elektromagnet Geoservices
Elektromagnet is a tiny, 35 mn EUR market cap company that seems to offer some technology for seismic data collection for Oil and Gas companies. The company has very volatile sales and made losses in 4 out of the last 8 years. “pass”.
140. Nekkar
Nekkar is a 59 mn EUR market cap company that claims to have solutions for Aquaculture, renewable energies and the shipping industry. The company grew nicely until 2021 before shrinking in 2022. Q1 2023 looked slightly better than 2022. The company is around for sometime but for the last 15 years or so, the stock has been not doing much overall. At 21x P/E the stock is not cheap, due to net cash, EV/EBIT is only 11x. “Pass”.
141. Veidekke
Veidekke is a 1,25 bn EUR market cap construction company. The company achieves high ROE’s (30%) with low margins (3%). At 12xP/E and 7% dividend yield, the stock looks cheap, but I am not 100% sure that now is the time to buy construction companies. “Pass”.
142. Proximar Seefood
Proximar is a 24 mn EUR market cap company that specializes in land based Salmon farming. To make things more interesting, they are building their first facility in Japan. Not my cup of (Japanese) tea, “pass”.
143. North Energy
North Energy is a 23 mn EUR market cap company that is active in oil and gas. The company is around for quite some years but has no sales. “Pass”.
144. Codelab Capital
Codelab is an 8 mn market cap company that recently changed its name from Patientsky Group. “Pass”.
145. CSAM Health Group
CSAM is a 73 mn EUR market cap company that claims to be the “leading provider of niche eHealth solutions in the Nordics. The company’s product portfolio includes solutions in connected healthcare, medical imaging, women and children’s health, public safety, health analytics, medication management, and laboratory information management systems”. The company is a 2020 IPO, has lost around -50% since the IPO and is consistently making losses. “Pass”.
146. DNB Bank
With 26 bn EUR market cap, DNB is clearly one of the big Nordic players in Banking. DNB has a very nice long term chart that shows a steady share price increase across every crisis:
The valuation is very similar to other nordic players with a P/E of around 8x. The Norwegian Government owns 34%. It could be interesting to compare DNB with Handelsbanken, but I think the strength of DNB explains the weakness of Handelsbanken in Norway. “Watch”.
147. REC Silicon
“REC Silicon is a leading producer of advanced silicon materials, supplying high-purity polysilicon and silicon gases to the solar and electronics industries worldwide.” REC Silicon has a market cap 585 mn EUR. After a long slump, the stock price has recoevered in the last 2 years. The company is consistently making losses since 10 years, the largest shareholder is Japanese Conglomerate Hanwa. “Pass”.
148. Otello
Otello is a Holdco that owns several companies that are active in some kind of mobile/cloud/gaming businesses with a market cap of 61 mn EUR. The company has been around for some time and seems to have been its peak in 2015. The stock has lost more than -9ß% since 2015. “Pass”.
149. Komplett
Komplett is a 212 mn EUR market cap electronics E-Commerce player. The company was smartly IPO’ed in 2021 to benefit from teh Covid boom. The stock lost 2/3 since then. Gross margin is 5%, net margin 0%. “Pass”.
150. Leroy Seafood
Leroy is one of the larger fish farmers with a market cap of 2,4 bn EUR. They seem to have a certain vertical integration. Valuation at around 10x P/E and 7X EV/EBIT looks modest, but earnings are very volatile which is reflected in the share price:
Not my area of interest, “pass”.
