Today’s company is Barco (€1.8bn market cap), a Belgian technology company with a focus on imaging technology. This is a high-quality, well-financed, cool company with a positive outlook for the next years. The shares are currently on sale due to a few specific reasons, providing an attractive opportunity into an original thesis at a heavily discounted price. Not often does decent size quality + growth + strong balance sheet trade at a large discount. As Barco continues to perform and the current uncertainty subsides, the share price should rerate back. A normalisation of the multiple on growing earnings indicates >100% upside over the next 2/3 years.
Hi, I have a few questions. What's the competitive advantage of the business? What stops the competitors from poaching the products? Example - People switching to Teams, Meet.
Further. for the product side, it seems that the recurring revenues are miniscule & the replacement cycle is pretty long. Are there any servicing contracts inbuilt that can provide some stability to the revenue streams?