DAVY VIEW

We have updated our SigmaRoc (SRC) forecasts and price target following its recent trading update. While the stock has performed strongly year-to-date (+63%), we see further upside supported by solid cash generation, a disciplined M&A strategy and operational self-help initiatives. Its exposure to favourable tailwinds combined with a diversified footprint positions it well to deliver earnings growth as end markets recover over the medium term. We re-iterate our ‘Outperform’ rating and raise our price target to 148p (previously 105p).