SMART PARKING LIMITED (SPZ)
Share Price Analysis and Chart

18/11/2024

1

Buy, High Risk

$1.10

19.57%

Smart Parking's 1Q earnings (EBITDA) rose by 30% year-on-year, prompting Shaw and Partners to upgrade earnings forecasts by approximately 2% across the forecast period.

The broker notes regulatory risk in the UK has eased, and the company continues to gain market share through its ANPR technology and strong selling culture.

Management is driving growth in nascent markets, including Germany and Denmark, while evaluating potential expansions in Scandinavia, Europe, and the US, with the latter expected to provide a material share price uplift if announced.

Shaw and Partners maintains a Buy/High Risk rating and raises the target price to $1.10 from 70c.

FORECAST
Shaw and Partners forecasts a full year FY25 dividend of 0.00 cents and EPS of 2.10 cents.
Shaw and Partners forecasts a full year FY26 dividend of 0.00 cents and EPS of 2.80 cents.

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19/11/2024

1

Buy

$1.02

10.87%

Smart Parking’s Q1 FY25 revenue increased by 24% year-on-year to $16.8m, with adjusted earnings (EBITDA) rising 30% to $5.4m, notes Petra Capital.

The broker highlights management’s new long-term target of 3,000 automatic number plate recognition (ANPR) sites by 2028, following the achievement of the previous 1,500 site goal.

Growth is expected from ongoing organic expansion in key markets, including the UK, Denmark, Germany, and New Zealand.

Management maintains a disciplined approach to international expansion and mergers, according to the analyst, with potential new entries into Scandinavia, Europe, and the US under evaluation.

Petra Capital retains a Buy rating and a $1.02 target price, with no changes to forecasts.

FORECAST
Petra Capital forecasts a full year FY25 dividend of 0.00 cents and EPS of 2.20 cents.
Petra Capital forecasts a full year FY26 dividend of 0.00 cents and EPS of 3.80 cents.