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Investing.com - Jefferies initiated coverage on Intralot SA (ATH:INLOT) with a Buy rating and a price target of EUR1.35 on Tuesday.
The research firm highlighted Intralot’s attractive financial model, which features mid-single-digit underlying growth and sector-leading 40% EBITDA margins with high cash conversion.
Jefferies noted improved earnings visibility for the company following UK tax clarity and through its resilient lottery exposure, which strengthens the investment case.
The firm identified material cost and revenue synergy opportunities as another key driver for the positive outlook on Intralot.
Jefferies also pointed to valuation multiple upside potential from the current 7.5x EV/EBITDA, citing improved visibility, scale, and diversification post-deal as catalysts for potential multiple expansion.
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