Heidelberger Druckmaschinen AG - Sustainable Turnaround?

Since December 20, 2021, Heidelberger Druck is back in the SDAX after one and a half years and wants to create a new business segment to complement the weakening classic business, in which it is slowly getting back on track.

For the new e-mobility business area, the company is relying on the charging station technology of the utility EnBW.

The production of wallboxes will not only attract private customers who charge their cars at home, but above all municipal utilities, local authorities and companies.

Heidelberger Druck has already established itself as one of the leading suppliers of wallboxes with sales in Austria and Switzerland, demonstrating its international competitiveness.

Following strong growth in the 1990s, the Heidelberg-based company has had to contend with declining sales since the beginning of the 2000s, which was exacerbated by the slump in the advertising industry following the September 11 attacks and the financial and economic crisis in the spring of 2008.

The strong growth did not prove to be sustainable and Heidelberger Druck had to undertake a number of sales and restructurings. In addition, RWE sold its stake in the company in 2004.

With its basic business of sheetfed offset presses, with a market share of over 40%, it is the market and technology leader in the printing industry. Together with the restructuring measures of recent years and the new business area, Heidelberger Druck aims to be more effective and flexible.

In your opinion, will the sustainable growth now work out and would the share be a buy for you or would it at least get a place on your watch list?

Current share price: 2.65€

Performance 1 year: +230.6%

Performance 5 years: +3.5%

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No investment recommendation

Sources: finanzen.net,
heidelberg.com