- Deutsche Post DHL Group is one of the key beneficiaries of the renewed global e-commerce boom propelled by the pandemic.
- Tight air cargo capacity is pushing up airfreight rates, benefiting integrated companies like DHL, which are offsetting the fall in trade volumes.
- Expect high single-digit earnings growth and better FCF generation going forward based on resilient top-line growth, margin expansion, and Capex normalization.
- At 12.5x NTM EV/EBIT, It is trading in line with its 5y historical average and well below its US peers. Our SOP valuation would make the case for a re-rating.
For further details see:
Deutsche Post DHL: Surfing The New Ecommerce Wave