This publication is issued by CM-Equity AG (“CM-Equity”) and is for distribution in the Federal Republic of Germany only to professional investors who purchase or sell transferable securities for their own account or for the account of others in the context of their trade, profession or occupation. This publication is for the use of the addressees only. It may not be copied to or distributed to any other person in whole or in part without the written consent of CM-Equity. This publication is provided for general information purposes only and is furnished to you on a confidential basis. Any decisions to purchase any securities of the company must be made solely on the basis of the information contained in the official offering document relating to such securities and not on the contents hereof. The official offering document will be available at CM-Equity AG and the company. Any investment possibilities discussed in this publication may not be suitable for certain investors depending on their specific investment target or time horizon or in the context of their overall financial situation. It cannot be a substitute for obtaining independent advice. Please contact your bank’s investment advisor.
The distribution of this publication in certain jurisdictions may be restricted by law and persons into whose possession this publication comes should inform themselves about, and observe such restrictions. In the United Kingdom this publication or a copy of it is being distributed only to, and is directed at (a) persons who have professional experience in matters relating to investments falling within article 19(1) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2001 (the “Order”) or (b) high net worth entities falling within article 49(2) (A) to (D) of the order, and other persons to whom it may be lawfully be communicated, falling within article 49(1) of the Order (all such persons together referred to as “Relevant Persons”). Any person who is not a Relevant Person should not act or rely on this publication or any of its contents.
Neither this document nor any copy of it may be taken or transmitted into the United States or distributed, directly or indirectly, in the United States or to any U.S. person (within the meaning of regulations under the U.S. Securities Act of 1933, as amended (the Securities Act). The shares in the company have not been and will not be registered under the Securities Act and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons, except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act.
Neither this document nor any copy of it may be taken or transmitted into Japan, Australia, Canada, or distributed or redistributed in Japan, Australia, Canada or to any resident thereof. The distribution of this document in other jurisdiction may be restricted by law or persons into whose possession this document comes should inform themselves about, and observe any restrictions. Any failure to comply with these restrictions may constitute a violation of U.S., Japanese, Australian or Canadian securities laws or the laws of any other such jurisdiction. By accepting this document you agree to be bound by the foregoing restrictions.
This publication does not constitute a solicitation to buy or an offer to sell any securities and shall not be construed as constituting an offer to enter into a consulting agreement. Neither this publication nor any part of it establishes a basis for any agreement or other obligations of any kind. Neither CM-Equity, nor any syndicate member or other person acting in connection with the offering of any securities of the company or any other investment in securities of the company or any person connected
with any of them accepts any responsibility for liabilities arising from the publication and/or use of this publication or its contents. Neither CM-Equity nor any syndicate member guarantee the accuracy or completeness of information used for this publication and nothing in this publication shall be construed to be a representation of such a guarantee. Used information has not independently been verified. This document was made available to the company prior to its distribution or dissemination and changes were made thereafter. Accordingly, no representation or warranty, expressed or implied, is made as to the fairness, accuracy, completeness or correctness of the information and opinions contained in this report and no reliance should be placed on such information or opinions. Any opinions expressed reflect the current judgment of the analyst who prepared this publication in conjunction with his/her occupational activity and may be changed pursuant to future events and developments. Views expressed do not necessarily reflect the opinion of CM-Equity or any of the syndicated members. We reserve the right to change the views expressed in this publication at any time and without advance notice. CM-Equity may have issued other publications that are inconsistent with and reach different conclusions from the information presented in this publication. Those publications may reflect the different assumptions, views and analytical methods of the analysts who prepared them. Past performance should not be taken as an indication or guarantee for further performance, and no representation or warranty, expressed or implied, is made regarding future performance. This publication is being distributed by electronic and ordinary mail to professional investors, who are expected to make their own investment decisions without undue reliance on this publication.
CM-Equity AG is a Munich based company which is regulated under the laws of Germany and is subject to supervision of the Federal Financial Supervisory Authority, Marie-Curie-Straße 24-28, D-60439 Frankfurt.
Target price Conflict of interest (Key): 9
Specific disclosures according to Section. 34b para 1 no. 1 German Securities Trading Act and Ordinance on the Analysis of Financial Instruments.
Section 34b of the German Securities Trading Act in combination with the Ordinance on the Analysis of Financial Instruments requires a company preparing a securities analysis to point out potential conflicts of interest with respect to the analyzed company that is the subject of the analysis. A conflict of interest is presumed to exist, in particular, if a company preparing a security analysis
> holds a more than 5% interest in the capital stock of the analyzed company that is the subject of the analysis,
> has been a member of a syndicate that has underwritten the analyzed company’s securities in the previous 12 months,
> is serving as a liquidity provider for the analyzed company’s securities on the basis of an existing designated sponsorship contract,
> has been providing investment banking services for the analyzed company during the last 12 months for which a compensation has been or will be paid,
> is party to an agreement with the analyzed company that is the subject of the analysis relating to the production of the recommendation,
> or any of its affiliates are regularly trading securities issued by the analyzed company or securities based on these issues,
> or the analyst covering the issue has other significant financial interests with respect to the analyzed company that is the subject of this analysis, for example holding a seat on the company’s boards.
Key 1: The analyzed company actively provided information material for preparation of this publication.
Key 2: This publication has been customized to the analyzed company and has been modified afterwards before publication.
Key3a: The analyzed company owns more than 5% of the capital stock of CM-Equity and/or a company affiliated with CM-Equity.
Key3b: CM-Equity and/or a company affiliated with it and/or the analyst having prepared this publication owns more than 5% of the capital stock of the analyzed company.
Key 4: CM-Equity and/or a company affiliated with it serves as a liquidity provider for the analyzed company’s shares on the basis of an existing market maker or liquidity provider contract.
Key 5: CM-Equity acts as Lead Manager or Co-Lead Manager and/or Joint Bookrunner in an offering of shares of the issuer or has underwritten shares of the issuer within twelve months preceding publication.
Key 6: CM-Equity and/or a company affiliated with it and/or the author of this publication acquired shares of the analyzed company free of charge or for a consideration below the stated target price and before the shares’ public offering.
Key 7: CM-Equity and/or a company affiliated with it was subject to an agreement on services in connection with investment banking transactions with the analyzed company in the last 12 months or within the same period received consideration on basis of such an agreement.
Key 8: CM-Equity and/or a company affiliated with it receives commission earnings arising from commercial activities from the analyzed company.
Key 9: CM-Equity and/or a company affiliated with it is regularly trading securities issued by the analyzed company or one of its affiliates.
Key 10: A member of the managing board of CM-Equity and/or the author of this publication is member of the supervisory board of the analyzed company.
Key 11: This publication is a contract work for remuneration, initiated and paid by the analyzed company.
Key 12: This publication is a contract work for remuneration, initiated and paid by shareholders or backers of the analyzed company.
Key 13: CM-Equity and/or a company affiliated with it acts as a selling agent in the public offering of shares of the issuer.
Investment Recommendations (12 months investment period)
Buy: We expect a stock to rise by at least 20% and outperform the benchmark by over 10%.
Hold: We expect a stock to move within 10% of the benchmark.
Sell: We expect a stock to fall by at least 20% and underperform the benchmark.
The benchmark for the stocks analyzed in this publication is the DAX.
Statements according to Section 34b of the German Securities Trading Act and Ordinance on the Analysis of Financial Instruments
Sources of information
The information contained in this publication is derived from carefully selected public sources we believe are reasonable, particularly from providers of financial data, the issuers’ own publications as well as other public media.
Principles and methods of valuation
For the preparation of this publication CM-Equity has used methods of fundamental share analysis as well as quantitative/statistical methods and models (inter alia historical valuation approaches, asset-based evaluation methods or sum-of-the-parts methods, discount models or the economic profit approach, multiple-based models or peer-group comparisons). Valuation models are dependent on macroeconomic factors, such as exchange rates, interest rates, raw materials, and on assumptions about the economy. Furthermore, market sentiment and political developments affect the valuation of companies.
The valuation is also based on expectations that might change rapidly and without notice, depending on developments specific to individual industries. Consequently, our recommendations and price targets derived from the models might change accordingly. The investment ratings related to a 12-month period are subject to market conditions and can only represent a snapshot. The ratings might in fact be achieved more quickly or slowly than expected, or need to be revised upward or downward.
The author’s remuneration has not been, and will not be connected with the investment recommendations or views expressed in this publication, neither directly nor indirectly.
Organizational provisions to avoid conflicts of interests
In order to prevent conflicts of interests CM-Equity has separated business units with access to confidential information (confidential units) from its research units by functional and/or special separation or by setting up access authorization for data. In particular, Investment banking units and units of other financial advisory as well as capital market activities are segregated by physical and non-physical boundaries from the research department of CM-Equity. This segregation of CM-Equity’s operative units as well as the transfer of the – often stock-exchange price relevant – information is controlled by a unit independent from trade-, corporate- and transaction units (compliance). This guarantees that the stock-exchange price relevant information is not being misused or being transferred illegally to units with access to publicly available information only.