First analysis of IVISYS AB recommends ‘moderate buy’
5 July 2017
The Danish equity research company Aktieinfo ApS has released their first analysis of IVISYS AB (‘IVISYS’). Based on a five-page report, Aktieinfo rates IVISYS AB with a ‘moderate buy’ recommendation, both with regards to short and long-term investments. Here is a summary of some of the main points.
The equity researchers of Aktieinfo has published an analysis assessing the investment case for IVISYS AB. Both the short and long-term recommendation is ‘moderate buy’.
Some of the main points of the report are:
– Short term recommendation: ‘Moderate buy’. Share price development in 0 – 6 months: 5.0-8.0 SEK
– Long term recommendation: ‘Moderate buy’. Share price development in 12 – 18 months: 8.0-12.0 SEK
– The market for vision systems is growing rapidly and the scalability is high, the possible upside for IVISYS is considered ‘enormous’
– Aktieinfo sees several signs indicating that IVISYS’ sales efforts are starting to materialize
– One of IVISYS’ strengths is the company’s unique products covered by patents in Denmark, the US, China and Japan
– The equity research company labels IVISYS a ‘high risk / high reward’ investment case
In addition, the report states that IVISYS could be a take-over target, as well as points to the fact that it is quite an achievement for IVISYS to be labelled as one of the ten best vision system providers, when the competition is much larger companies such as Cognex, Datalogic, Microscan and National Instruments.
The report also refers to the fact that the Association for Advancing Automation assess that the market for vision systems were growing with 10 pct. in the first quarter of 2017 and adds that if the management plays their cards right, IVISYS could be facing a very exciting future in such a vibrant market.
One of the reasons for this optimism, the report argues, is that IVISYS could be facing a break-through soon, since the company is keeping a high pace, when it comes to making offers for potential customers. Moreover, the report points to recent successful orders from American GKN Sinter Metals and German LuK Schaeffler, which could result in wider collaboration agreements. If such customers start placing follow-up orders they could provide important and ground-breaking breakthroughs in IVISYS’ sales.
The report also highlights a range of risks, for example the many risks associated with investing in such a small company with limited financial and staff resources and it draws a parallel to small, listed biotech companies, which have shown promising results but still need regulatory approvals. In IVISYS’ case: If the company’s solutions get validation from a large customer, it will be equivalent to such an approval and IVISYS’ sales could really take off.
The full report is available in Danish (only) on Aktieinfo.net, access it by clicking here.
Sedermera Fondkommission is IVISYS’ Certified Adviser.
For further information, please contact
Jakob Kesje, CEO IVISYS AB
Phone: +45 20 22 60 10
IVISYS provides vision-based, quality inspection solutions for the industry. IVISYS’ unique, patented solutions make it possible to perform complex quality control while keeping the existing production flow unaffected. Unlike existing solutions, IVISYS provides solutions that make it possible to perform complex surface controls, control measurements on the micron level, and control multiple components in one instant process. The solutions are based on IVISYS’s patented image data processing, which differs fundamentally from the conventional processes used within vision systems today. IVISYS is capable of utilising high-resolution cameras in the company’s image processing, while at the same time processing image information faster than the company’s competitors. The solutions offered, have an average payback period of approximately six months for customers currently relying on mechanical or manual control.