9. Mai 2022

AlsterResearch Initiates Coverage of InVision AG: Buy Recommendation With Price Target of Euro 36.50

AlsterResearch AG today initiated its coverage of InVision AG (ISIN: DE0005859698). With a buy recommendation and a price target of EUR 36.50 as well as an upside potential of 29 percent, a detailed study on the shares of InVision AG (IVX) is now available on AlsterResearch’s digital ResearchHub. According to the analysts, InVision’s growth plans announced last year, combined with the market growth for workforce management solutions described in the study and the company’s market positioning, allow for an average annual revenue growth rate of approximately 26 percent until the end of 2025.

According to AlsterResearch’s analysis, InVision’s management has presented a credible package of measures to achieve its growth targets. Based on a four-pillar plan, the company has identified ample potential to scale its cost base and achieve attractive margins. Compared to other SaaS (Software as a Service) business models, there could even be an upside to the company’s profitability targets.

At the beginning of 2021, InVision had presented its growth strategy for the next few years, which includes an expansion of the workforce to 500 employees by the end of 2025 (end of 2021: 144 employees), total revenues of more than EUR 50 million and an EBIT margin of more than 25 percent. The most important key figure for the company’s growth plans is the annualised recurring revenue from cloud subscriptions (ARR - Annual Recurring Revenues). According to the analysts at AlsterResearch, InVision’s top-line growth is mainly driven by product innovation, increased sales activities and strong demand for workforce management solutions. Since the beginning of 2021, InVision has seen a significant increase in its annual recurring cloud revenues (ARR), most recently 33 percent in December 2021. For 2022, the annualised recurring cloud revenues are expected to continue to grow significantly by 40+ percent.

The initial research study on InVision AG is now available on the ResearchHub of AlsterResearch: www.research-hub.de.