SDI Group Share Price (SDI)

Canaccord yesterday reiterated their Buy and 145p target:

Https://investing.thisismoney.co.uk/broker-views/SDI

SDI 81 v 82p +4.50p

Finally, the MMs let it go after holding the SP for some time

Cavendish have reiterated their Buy rating and 140p target price.

They continue to forecast 7.8p EPS this year, with net debt falling heavily to £16.6m and plenty of headroom for acquisitions.

In summary:

"FY26 update – Strong 2H trading in-line with expectations

SDI has announced a satisfactory year-end trading update signalling trading is in-line with expectations having experienced strong trading in 2H, despite macro challenges. Operating margins were better than expected, helped by mix. Order intake remains strong giving the group a robust position for FY27, with recent acquisitions performing well. We adjust our forecast for a slightly lower revenue, offset by a stronger margin with adj PBT and adj EPS unchanged. We factor in slightly higher net debt of £24.0m.

We maintained our 140p target price, offering significant upside, with the current share price at a 46% P/E discount to its peers and a compelling value trading on a FY27E P/E of 10.2x, underwriting our Buy rating."

"Valuation:

The shares continue to look good value against its peer group, trading on a FY27E P/E of 10.2x and EV/EBITDA of 6.4x, which indicates a 46% discount to its nearest comparator Judges Scientific that we consider to be unwarranted and offering upside scope. In our view there is strong upside potential in the shares and maintain our target price of 140p based on a FY27E target P/E of 17.9x and EV/EBITDA of 10.3x.

We believe the shares should respond well to any reduction in current geopolitical issues, while it has scope to continue its internal efficiency actions and with balance sheet flexibility it has the opportunity to gain from any potential earnings-accretive acquisitions."

Https://www.vo%78markets.com/research#/rnid/30_a7f2316d-50f0-498f-88b8-e30e18d03215

Agreed.. Spike down was unwarranted.

Forward P/E of 10 for quality growth business in a defensive sector.

I topped up at 72p