Metlen’s president and CEO, Mr. Mytileneos, during a panel discussion at the Greek Investment Conference in London on December 2 and 3, said that energy policy in the EU remains problematic, so far, as the ambitious green transition agenda appears to come at the expense of competitiveness, creating social. and political problems among others.
The Metlen Group CEO also shared his view that fossil fuels will remain in use for many years to come and came out in favor of nuclear power as a solution to energy problems. Discussing Metlen, Mr. Mytileneos said that energy is vital for metallurgy, thus the two main pillars of the group (metals and energy), and indicated that their investment focus is in countries with a low-key rule, where the authorities are there to solve problems and where. stable currencies, citing Canada, Australia and the US as examples.
What do analysts think about Metlen?
Analysts covering Metlen are particularly optimistic about the group’s performance this fiscal year, especially considering the positive seasonality of the fourth quarter.
The investment bank of America Morgan Stanley and analyst Ioannis Masvoulas explains to Metlen Group that Q3 EBITDA beat their estimates, although net debt increased. The target price for the share is 47 euros with an overweight recommendation.
H NBG Securities and head of analysis Vangelis Karanikas indicated that Metlen is ‘on track’ to achieve this year’s guidance, at a record level of profitability for nine months and third quarter results. The brokerage maintains an outperform recommendation for the stock with a target price of 51.30 euros. From a sectoral outlook, Metlen sees strong performance prospects in Q3 in the infrastructure/concessions sector, which aims to double profitability from 2023. In terms of new major projects, which are close to a final investment decision (FID ), thes should be announced gradually in the future. month, elaborating on the recent statements made by Cathaoirleach Metlen, regarding the doubling of his company size within the next 3-5 years”, concludes the brokerage.
OR Euroxx stock exchange and analysts Fani Tzioukalia and Alexandros Boulougouris, regarding the results of the Metlen group, showed that EBITDA growth in the nine months of the year was 5.7% higher on an annual basis, with an upward trend in the metal sector visible. . The recommendation is better and the target price is 48.2 euros per share. M Renewables’ significant contribution continues to be a catalyst in Metlen’s Energy sector, with increased conventional energy production also supporting sustainable and recurring profitability.
OR Alpha Finance revised its forecasts and gave a new target price of €47.70 per share from €31.40 previously, as the brokerage believes that the synergies between the sectors and the vertical growth model allow the Group to achieve high and sustainable profitability under different conditions . The new target price is €47.70 per share, which puts the potential total return at 46%, combined with the attractive levels at which the stock is trading, ie 6.7-6.5 times 2025-2026 earnings and 6.2-5.8 xi terms EV. /EBITDA for 2025-2026, put the Group among the best options for this year. Alpha Finance maintains a buy recommendation on the stock and believes that the recent underperformance is an attractive entry point for new positions, as a re-rating does not appear to be far off.
there is the AXIA and analysts Konstantinos Zouzoulas and Alexis Haidopoulos recommend a buy for the group’s share with a target price of 48.6 euros. Analysts at the investment bank point to increased visibility for metals, asset transfers, customer solutions and thermal generation. The profitability of these divisions, together with the increased backlog from M Power projects, will continue to support the group’s profitability outlook for this year and beyond. Analysts also note that there is seasonality in the group’s earnings and a strong set of fourth quarter results would be expected. For this year, they forecast that the group will present an EBITDA of 1.073 billion. euro or 5.9% higher than the previous year.
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Interview between Time.news Editor and Mr. Mytileneos,CEO of Metlen Group
Editor: Thank you for joining us today,Mr. Mytileneos. Your insights from the Greek Investment Conference in London have certainly sparked interest. To start, could you elaborate on what you see as the core issues with the EU’s current energy policy?
Mr. Mytileneos: Thank you for having me. The EU’s ambitious green transition agenda is laudable,no doubt,but its becoming increasingly clear that it’s impacting competitiveness across the region. there are social and political ramifications too. When energy becomes scarce or overly expensive due to these policies, it can create tension and pushback among citizens and industries alike.
Editor: That’s a compelling point. Given these challenges, how do you view the role of fossil fuels in the near future?
Mr. Mytileneos: I believe fossil fuels will remain a vital part of our energy mix for years to come. Transitioning too rapidly can lead to energy shortages and destabilize economies. From my personal perspective,nuclear power emerges as a viable solution to mitigate these problems. It’s a low-carbon choice that can provide the stability we need during this transition period.
Editor: Speaking of stability, you mentioned that your focus is on investments in countries with lower regulatory burdens. What attracts you to markets like Canada, Australia, and the U.S.?
Mr. mytileneos: Those countries offer a stable regulatory environment where the authorities prioritize problem-solving. We aim for environments where our investments can thrive, and having supportive regulations and stable currencies is essential for that. It ensures we can effectively manage risks and pursue our goals in metallurgy and energy.
Editor: Analysts seem optimistic about Metlen’s performance this fiscal year, with Morgan stanley even raising your target share price to 47 euros. What factors do you believe are driving this optimism?
Mr.Mytileneos: the positive seasonality in Q4 plays a significant role,of course,but it also reflects our strategic initiatives over the past year. We’ve been focused on operational efficiencies and scaling our production capabilities, which has positioned us strongly for record profitability. It’s gratifying to see that these efforts are being recognized by analysts.
Editor: It’s always encouraging to see strategic plans come to fruition. Given your acknowledgment of the uncertain energy landscape, what do you think are the most critical steps governments should take to support business growth in the energy sector?
Mr. Mytileneos: Governments need to adopt a balanced approach to energy policy—one that includes support for customary energy sources while promoting renewables. This means providing incentives for innovation in all energy types, ensuring infrastructure development, and fostering regulatory environments that encourage investments. Collaboration is key; we need a united effort from all stakeholders to balance sustainability with competitiveness.
Editor: Excellent insights, Mr. mytileneos. Before we wrap up, what do you envision for Metlen in the coming years, especially considering these ongoing challenges?
Mr. Mytileneos: Our vision is to be at the forefront of the energy and metallurgy sectors, leading by example in sustainable practices while ensuring profitability. We aim to navigate these challenges thru innovation, strategic investments, and a commitment to responsible resource management. Ultimately, our goal is to create value for our stakeholders while contributing positively to the communities we operate in.
Editor: Thank you,Mr. Mytileneos,for sharing your thoughts. It’s clear that Metlen is positioning itself thoughtfully amid these challenges. We look forward to seeing how your strategies unfold.
Mr. Mytileneos: Thank you for having me; it’s been a pleasure discussing these critical issues with you.