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Promising Revenue Growth and Strategic Acquisitions Justify Buy Rating for Datalogic SPA

Datalogic SPA (0E3CResearch Report), the Industrials sector company, was revisited by a Wall Street analyst on May 16. Analyst Alberto Francese from Intesa Sanpaolo maintained a Buy rating on the stock and has a €7.00 price target.

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Alberto Francese has given his Buy rating due to a combination of factors, primarily the promising outlook for Datalogic SPA’s revenue growth in the upcoming years. The company is experiencing a significant recovery in order intake, which is expected to drive a new cycle of revenue growth in 2025 and 2026. This positive trend is supported by strong performance in the Data Capture segment and a resurgence in the Industrial Automation segment, both of which have shown impressive year-over-year growth.
Moreover, the introduction of new products has bolstered the company’s revenues and EBITDA, indicating a structural path towards profitable growth. The management’s guidance for 2025 suggests sustained revenue growth, supported by operational efficiencies and innovative product offerings. Additionally, the strategic acquisition of Datema is expected to enhance Datalogic’s leadership in retail solutions, further supporting its growth trajectory. Despite a slight increase in net debt to support this expansion, the overall outlook remains positive, justifying the Buy rating with a target price of EUR 7.0.

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