^Original-Research: Westwing Group AG - von NuWays AGEinstufung von NuWays AG zu Westwing Group AGUnternehmen: Westwing Group AGISIN: DE000A2N4H07Anlass der Studie: 5 PagerEmpfehlung: BUYseit: 23.01.2024Kursziel: 19.00Kursziel auf Sicht von: 12 MonatenLetzte Ratingänderung: Analyst: Mark-Hendrik SchüsslerStorytelling-based value and growth play for 2024 With its storytelling-based retail approach and inspiration-driven revenuegeneration, Westwing is a unique play on the growing online penetration inthe home and living segment. The latter still stands at 25% for fashion or >35% for electronics. Its focus oncurated home furnishings along with strong app engagement in 11 Europeancountries helped the company generate EUR 431m in FY'22 revenues and reach1.3m, mostly female customers with an impressive >80% retention rate, and asuperb mobile share rate of 80%. Westwing's strong gross margins of c. 50% are carried by a high share ofprivate labels (48% in Q3'23). As sales look set to grow at a 8.3% CAGR23e-27e, scalability should allow for profitability improvement especiallyin G&A (c. 21% of sales vs 7-10% industry average) such that the EBITmargin is seen to reach break-even in 2024e. Notably, after several quarters of decline in the number of activecustomers and order frequency normalization following the pandemic boom,Westwing was able to return to growth both in active customers and GMV percustomer in Q3 2023, indicating that the company seems to have passed thetrough. Hence, structural drivers are back to the fore and the company ison track to continue top and bottom line growth into 2024 thanks tofruitful efforts to improve customer experience, product offering and agrowing share of the higher-margin private label. Westwing's market cap stands at only c. EUR 151m. Having a healthy balancesheet with a current net cash position of EUR 69m (or EUR 3.30 per share or>45% of the current share price), an investor acquires the entire operatingbusiness for only EUR 3.90 per share. With FCF LTM of EUR 23.8m and trading atonly c. 0.2x EV/Sales FY23e (~60% discount to e-commerce peers), Westwingprovides both a strong downside protection and a bargain opportunity todisproportionately profit from an eventual recovery of the Home & Livingmarket and possibly a less hawkish monetary policy. Regarding the stock as a compelling mix of growth and value, we remain ourBUY rating with an unchanged PT EUR 19.00, based on DCF.Die vollständige Analyse können Sie hier downloaden:http://www.more-ir.de/d/28725.pdfDie Analyse oder weiterführende Informationen zu dieser können Sie hier downloadenwww.nuways-ag.com/research.Kontakt für RückfragenNuWays AG - Equity ResearchWeb: www.nuways-ag.comEmail: research@nuways-ag.comLinkedIn: https://www.linkedin.com/company/nuwaysagAdresse: Mittelweg 16-17, 20148 Hamburg, Germany++++++++++Diese Meldung ist keine Anlageberatung oder Aufforderung zum Abschluss bestimmter Börsengeschäfte.Offenlegung möglicher Interessenskonflikte nach § 85 WpHG beim oben analysierten Unternehmen befinden sich in der vollständigen Analyse.++++++++++-------------------übermittelt durch die EQS Group AG.-------------------Für den Inhalt der Mitteilung bzw. Research ist alleine der Herausgeber bzw. Ersteller der Studie verantwortlich. Diese Meldung ist keine Anlageberatungoder Aufforderung zum Abschluss bestimmter Börsengeschäfte.°