Brembo: It's Time To Buy The Premium Brake Manufacturer

2025-02-18 10:31:00 ET

Summary

• Brembo's robust performance is highlighted by a 17.1% EBITDA margin and a net profit of 197.2M EUR, despite higher finance expenses.
• The sale of Pirelli shares for 283M EUR and acquisition of Ohlins Racing for $405M diversifies Brembo into the suspension market.
• Ohlins Racing acquisition, with an EBITDA margin of 21-22%, enhances Brembo's product portfolio and offers potential synergy benefits.
• Brembo's stock is increasingly attractive due to its strong financials and strategic diversification, making it a compelling investment opportunity.

Introduction

Brembo ( OTCPK:BRBOF ) ( OTCPK:BRBOY ) is one of the world’s largest developers and manufacturers of braking systems for automotive vehicles . It doesn’t just manufacture the brake discs, but has now also developed entire braking systems that are being installed in cars and motorbikes. The company recently sold its stake in Pirelli, the Italian tire manufacturer, and used the proceeds of the stake sale to acquire Ohlins Racing, a company focusing on suspensions. ...

Read the full article on Seeking Alpha

For further details see: