Envipco

In this fundamental analysis report, analysts James Göthman and Fredrik Ramel analyse Envipco
Holding, a Norwegian producer of reverse vending machines (RVMs) for recycling bottles, managing
the full value chain including service and maintenance. Positioned to benefit from EU-driven
regulatory tailwinds, continued market share gains from market leader Tomra Systems will expand
the installed base, increase higher-margin service revenues, and drive EBIT margins from currently
4.5% to 9.2% by 2027. Based on an equally weighted DCF and peer valuation, a target price of NOK
87.1 is implied, representing an upside of 63.7%.

Investment Thesis
● Regulatory tailwinds increase demand for RVMs
● Accelerating share gains from Tomra Systems support revenue growth
● Scaling recurring service revenues drives margin expansion