Etteplan Gains Most in 5 Months on Buy Rating: Helsinki Mover

March 26 (Bloomberg) -- Etteplan Oyj, a Finnish machine technology designer, rose the most in five months in Helsinki trading after Inderes Oy gave the stock a buy rating.

Etteplan gained as much as 5.5 percent, the most since Oct. 25, and traded 14 cents higher at 3.25 euros, as of 3:06 p.m. in the Finnish capital. The number of shares traded was more than double the daily average over the past three months.

Inderes, a Helsinki-based equity researcher, started coverage with a buy rating and an estimate for the shares to rise to 3.60 euros in 12 months. The company has long-lasting client relationships and low costs because of its China operations, Juha Kinnunen, an Inderes analyst, said in a note.

“We think Etteplan shares are undervalued both in absolute terms and in relation to their peers,” he said. “That will be corrected when markets observe the low valuation.”

Etteplan signed a framework agreement with Ensto Oy on technical engineering and product information services today.

The shares are up 22 percent this year, valuing the Hollola-based company at 66 million euros ($85 million).

The company will hold its annual general meeting tomorrow in Vantaa, Finland.

To contact the reporter on this story: Kati Pohjanpalo in Helsinki at kpohjanpalo@bloomberg.net

To contact the editor responsible for this story: Tasneem Brogger at tbrogger@bloomberg.net