First Berlin Equity Research has published a research update on MPH Health Care AG (ISIN: DE000A289V03). Analyst Ellis Acklin reiterated his BUY rating and maintained his EUR 67.00 price target.

Abstract
Prelims reflect the second year of covid-19 effects on the MPH NAV. The 2021 net loss narrowed to €-9m (2020: €-70m) and was occasioned by non-cash fair value write-downs of the listed holdings. The weak result is chiefly traced to the poor M1 stock performance last year (-19%) in the wake of pandemic headwinds in H1/21. However, the Lifestyle & Beauty specialist reported strong business momentum in H2 with record treatment numbers even during the Omicron outbreak. We think M1’s Beauty operations are hitting their stride. CR Capital reported net income of €65m (+27% Y/Y) as the investment holding continues its strategic expansion with new investments into green construction technologies. Our rating remains Buy with an unchanged €67 price target.