Syzygy AG is a €100m peer of SZZ, owned 30% by WPP. Last week WPP launch a tender offer for the 70% they don't own. WPP must think digital ads are pretty exciting as they are paying 16x ev/ebit right after the shares have jumped 50%. SZZ trade on a mere 6x ev/ebit so something is mispriced here.
To be frank SZZ have screwed up on too many quarters to make it a buy here. But the valuation anomaly is huge and digital ads are definitely a high growth niche. Cheap, but no rush!
To be frank SZZ have screwed up on too many quarters to make it a buy here. But the valuation anomaly is huge and digital ads are definitely a high growth niche. Cheap, but no rush!
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