NuWays AG Recommends BUY for Netfonds AG Amid Record Growth

On August 13, 2024, NuWays AG classified Netfonds AG with a "BUY" recommendation. This update follows Netfonds achieving new record levels in assets under administration (AuA) and assets under management (AuM). Specifically, Netfonds reached €26.2 billion in AuA and €3.3 billion in AuM, surpassing previous estimates.

Netfonds is poised for continued growth, with €2.6 billion added to AuA year-to-date and projections for the fiscal year 2024 suggest reaching €27 billion. The company's high-margin AuM is also on track, targeting €4 billion by year-end.

NuWays AG highlights strong first-half performance with €56 million in gross sales and anticipates robust figures for the second quarter, reflecting a 20% year-on-year increase in sales. The proprietary finfire platform is noted for aiding market consolidation, especially in the fragmented insurance brokerage market, boosting cross-selling opportunities.

Overall, NuWays AG sees Netfonds achieving its mid-term targets of €59 million in net sales and €23 million in EBITDA by fiscal year 2026, maintaining a target price of €74.00.