Davy is modelling FY21 and FY22 annual revenues of €139.1 million and €153.7 million, respectively, after Mincon booked FY20 revenue of €129.9 million, and believes the company "should re-rate from current levels relative to peers".
The stock is up 41% in the past year to €1.30, capitalising the company at €270.94 million.
"We still believe that the stock is good value despite a good start to the year," Davy said.
"At current levels, the stock is trading at 15.4x 2021 EBIT, which is a circa-25% discount to both its closest peers (20.5x) and the wider European Industrial Engineering sector (20.3x). We see good upside to the stock and believe that 2021 catalysts [including Greenhammer commercialisation and construction market pipeline] will drive this in the coming 12 months.
"We reiterate our outperform rating."
