Checkpoint Partners Maintains 'Buy' Rating and €4 Price Target for Lleida.net

Rhea-AI Summary

Checkpoint Partners has maintained a 'Buy' rating for Lleida.net (LLEIF) and raised its price target to €4.00 from €3.00, citing strong financial performance. The company achieved record-breaking results in Q1 2025, with sales reaching €5.29 million (up 12%), EBITDA of €1.22 million (up 84%), and pre-tax profit of €641,000 (up 477% YoY).

Analyst Guillermo Serrano expects Lleida.net to deliver an EBITDA of €3.7 million and Net Profit of €2.3 million in 2025. The company, a leading European provider of certification and electronic signature services, is currently trading at 7x and 5x EV/EBITDA multiples for 2025 and 2026, respectively, which the analyst considers undervalued for a growth company.

Positive

• Record-breaking Q1 2025 financial results with 477% increase in pre-tax profit
• EBITDA grew 129% YoY in Q1 2025 to €1.22 million
• Sales increased 12% to €5.29 million in Q1 2025
• Analyst raised price target to €4.00 from €3.00
• Strong growth in SaaS and Commercial SMS business lines
• Company holds over 300 patents across 60+ countries

Negative

• Stock currently trading at lower multiples compared to sector peers
• Forward-looking statements subject to risks and uncertainties

Madrid, Spain.– May 7, 2025 – Technology company Lleida.net (BME: LLN) (EPA: ALLN) (OTCQX: LLEIF) received a new research report from Checkpoint Partners, maintaining its 'Buy' rating and setting a price target of €4 per share.

The report, written by analyst Guillermo Serrano, cites Lleida.net's strong financial recovery, including a 477% increase in profit before tax and a 129% rise in EBITDA YoY during the first quarter of 2025, driven by growth in SaaS and Commercial SMS business lines.

According to Serrano, "We are raising our 12-18-month price target to €4.00 (vs €3.00), which would place the stock at a 2026 EV/EBITDA (cash) multiple of 14x. Our target multiple remains unchanged; the increase is solely driven by our increased EBITDA estimates."

The report notes that Lleida.net is currently trading at clearly lower multiples compared to similar sector companies.

It states that: "LLN is now trading on 2025 and 2026 EV/EBITDA (cash) multiples of 7x and 5x, respectively, in our view not consistent with the valuation multiples of a growth company."

"We now expect Lleida.net to deliver an Ebitda of €3,7 million in 2025 (vs €2.8 million) and a Net Profit of €2.3 million (vs €1.3 million)," Serrano explained in his report.

Lleida.net recorded its best quarter ever between January and March 2025, with sales of €5.29 million, up 12 percent on the same period last year. The company recorded an EBITDA of €1.22 million in the first quarter, an increase of 84 percent, marking the best quarter in its history.

In the first quarter of 2025, the company's operating profit reached €716,000, up 387 percent year-on-year, and pre-tax profit was €641,000, a rise of 477 percent, both record highs in the company's history.

Founded in 1995, Lleida.net is one of Europe's leading providers of certification, notification, and registered electronic signature services.

The company holds more than 300 patents in its business segment in over 60 countries. It has been listed on BME Growth (Madrid) for 10 years, Euronext Paris, OTCQX in New York, Stuttgart, and Frankfurt.

Forward-Looking Statement: This press release contains forward-looking statements regarding Lleida.net and its innovations. These statements may include words such as "anticipate", "believe", "estimate", "expect", "intend", "may", "plan", "potential", the future tense, and similar terms. Forward-looking statements involve risks and uncertainties that could cause actual results to differ materially, including uncertainty around commercial success, intellectual property rights protection, and other business risks. These statements reflect current beliefs and forecasts as of the date of this press release. The company assumes no obligation to publicly update any forward-looking statements due to new information, future events, or other circumstances.

FAQ

What is Lleida.net (LLEIF) new price target according to Checkpoint Partners?

Checkpoint Partners maintained a 'Buy' rating and raised the price target to €4.00 from €3.00, based on increased EBITDA estimates for Lleida.net.

How did Lleida.net (LLEIF) perform in Q1 2025?

Lleida.net achieved its best quarter ever in Q1 2025 with sales of €5.29 million (up 12% YoY), EBITDA of €1.22 million (up 84%), and pre-tax profit of €641,000 (up 477% YoY).

What are Lleida.net's (LLEIF) projected financial metrics for 2025?

According to Checkpoint Partners, Lleida.net is expected to deliver an EBITDA of €3.7 million and a Net Profit of €2.3 million in 2025.

What is Lleida.net's (LLEIF) current market valuation according to the analyst?

Lleida.net is trading at 7x and 5x EV/EBITDA multiples for 2025 and 2026 respectively, which the analyst considers undervalued for a growth company.

What is Lleida.net's (LLEIF) main business focus?

Lleida.net is one of Europe's leading providers of certification, notification, and registered electronic signature services, holding over 300 patents across more than 60 countries.