Poeyry Gain Propelled by Nordea ‘Leap of Faith’: Helsinki Mover
Poeyry Oyj jumped the most in 14 months in Helsinki after Nordea Bank AB recommended that clients buy the consulting services company’s stock on prospects for a recovery in new orders.
The provider of engineering and advisory services to companies in fields including energy and forestry gained as much as 11 percent to 3.53 euros, the most since November 2011. It was the biggest advance on the Nasdaq OMX Helsinki index, and trading volume at 1:17 p.m. was 22 percent above the three-month daily average.
Poeyry’s earnings and guidance “warrant a leap of faith,” Harri Taittonen and Martti Larjo, analysts at Nordea, wrote in a note to clients today. “Efficiency measures are in place and 2013 sales guidance improves prospects for a pick-up in order inflow.”
Poeyry forecast yesterday that sales this year will be higher than the 775 million euros ($1.05 billion) attained in 2012, and it will have as much as 50 million euros in cost savings by the end of next year.
The guidance is “remarkable,” Taittonen and Larjo said, raising their recommendation on the stock to buy from sell and increasing the 12-month price estimate to 3.80 euros from 3 euros.
The Vantaa, Finland-based company’s fourth-quarter net loss widened to 15 million euros from 1.7 million euros a year earlier, it said yesterday. The stock was up 9.5 percent at 3.49 euros at 1:21 p.m. in Helsinki.
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