Profile page - Tinexta banner - 16042019 - JPG



€541m market cap

€11.16 last close

Tinexta has three business divisions: Digital Trust – solutions to improve digital security; Credit Information & Management – information services to help manage corporate credit; and Innovation & Marketing Services – consulting services to help clients develop and/or grow their businesses.

Investment summary

Tinexta provides IT solutions, information and consulting services in niche markets predominantly to corporate clients. It has leading positions in its domestic Italian markets. In aggregate, we believe the company is capable of 6% organic revenue growth through our forecast period while expanding EBITDA margin, cash flow conversion and ROIC. There is likely to be further M&A in order to increase geographic coverage, client reach or expand the product offer. Q319 results highlighted accelerating growth for Digital Trust. Management reiterated guidance for FY19, which appears conservative.

Y/E Dec
Revenue (€m)
PBT (€m)
EPS (fd) (c)
P/E (x)
P/CF (x)
2017A 174.8 40.6 30.5 46.04 24.9 N/A
2018A 238.7 66.0 48.6 73.90 15.5 N/A
2019E 257.0 72.4 52.6 77.90 14.7 N/A
2020E 271.4 80.1 58.3 86.33 13.3 N/A
Industry outlook

Tinexta is exposed to favourable growth trends including the transition to a digital world and the requirement for enhanced online security. Starting from a purely domestic Italian focus, the company is exploiting these trends internationally. In particular, given recent regulatory changes, in Digital Trust the group is leveraging its Italian expertise to expand on an EU-wide basis with a unified legal base across the region. At the same time, Tinexta is likely to make acquisitions in Italy and Europe that will further expand its addressable markets, and seek cross-selling opportunities between the business units.

Last updated on 23/01/2020
Share price graph
Balance sheet
Forecast net debt (€m) 163.7
Forecast gearing ratio (%) 98
Price performance
Actual 2.0 (11.2) 69.8
Relative* 2.4 (16.5) 40.8
52-week high/low €14.4/€6.7
*% relative to local index
Key management
Pier Andrea Chevallard CEO