First Berlin Equity Research has published a research update on 2G Energy AG (ISIN: DE000A0HL8N9). Analyst Dr. Karsten von Blumenthal reiterated his BUY rating and maintained his EUR 35.00 price target.

Abstract
2G Energy has reported preliminary figures and held a conference call. The preliminary EBIT margin of 8.9% was above our expectation of 8.5%. Compared to the previous year, 2G managed to expand its margin by 1.3 percentage points to 8.9% despite a slight decline in total output. The company confirmed sales guidance for 2025 (€430m to €450m, +14% to +20% y/y) and 2026 (€440m to €490m). 2G has published first EBIT margin guidance for 2025 (8.5% – 10.5%) and 2026 (9.0% – 11.0%). This clearly points to profitable growth, which is well underpinned by a record order backlog of €189m in the new plant business. We assume that even a tariff of 20% will only have a limited negative impact on 2G’s US business, given that OpEx is a much greater cost factor in the CHP engine business than CapEx. We have factored a certain braking effect for the US business and a possible global recession into our updated forecasts. An updated DCF model yields an unchanged €35 price target. Upside: 34%