LHV Bank initiated coverage of Eleving Group
Eleving Group announces that LHV Bank released a comprehensive initiation report on December 19, 2024. The report analyzes the company’s business model, market strategy, and growth potential and evaluates its risk and profitability among peer group competitors.
LHV Bank has initiated coverage of Eleving Group with a “Buy” rating, setting a price target of EUR 2.20 per share. Based on the share price of EUR 1.65 as of December 20, 2024, this target implies a 39% total return potential over the next 12 months. The valuation places Eleving Group’s fair equity value at EUR 260 million.
While LHV acknowledges the elevated risk associated with Eleving Group’s operations, the report emphasizes the company’s proven track record in risk management and consistent profitability, both metrics exceeding industry averages. This combination positions Eleving Group as a unique “higher-risk, higher-reward" investment opportunity in an undervalued industry.
About Eleving Group
Eleving Group has driven innovation in financial technology around the world since its foundation in Latvia in 2012. As of today, the group operates in 16 markets and 3 continents, encouraging financial inclusion and upward social mobility in underserved communities around the globe. Eleving Group has developed a multi-brand portfolio for its vehicle and consumer finance business lines, with around 2/3 of the portfolio comprising secured vehicle loans and mobility products, with Mogo as the leading brand, and around 1/3 of the portfolio including unsecured consumer finance products. Currently, 55% of the group's portfolio is located in Europe, 32% in Africa, and 13% in the rest of the world.
The Group's historical customer base exceeds 1.3 million customers worldwide, while the total volume of loans issued is nearing EUR 1.9 billion. With headquarters in Latvia, Lithuania, and Estonia and a governance structure in Luxembourg, the Group ensures efficient and transparent business management, powered at the operational level by over 2850 employees. For two consecutive years, the Group was listed among Europe’s 1000 fastest-growing companies published by the Financial Times in 2020 and 2021, while in 2024, Eleving Group was ranked as the 41st fastest-growing European company in the last decade in 'Europe's Long-Term Growth Champions 2025' research by Financial Times and Statista.
More information
Edgars Rauza, Investor Relations Manager, edgars.rauza@eleving.com
Disclaimer
The report is prepared for informational purposes only and does not constitute a recommendation to buy or sell shares. Investors are advised to make their own investment decisions based on individual circumstances or consult with financial advisors.
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