Tomra: Bottom Valuation Opens For An Entry
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Wolf ReportInvesting Group LeaderFollow5ShareSavePlay(15min)CommentsSummaryTomra Systems ASA remains a market leader in reverse vending and recycling, now trading at historically low P/E multiples after a notable post-1Q26 share price drop.The recent earnings miss in the recycling segment and a significant drop in order backlog have heightened investor concerns, but the core collection business continues to deliver.I maintain a 'Buy' rating with a revised price target of 150 NOK, reflecting cautious optimism amid ongoing Horizon investments and segment volatility.Tomra’s upside is anchored in its dominant market share, expansion into new geographies, and the potential for AEPS growth, despite near-term operational risks.Looking for a helping hand in the market? Members of Wolf of Value get exclusive ideas and guidance to navigate any climate. Learn More » Robert vt Hoenderdaal/iStock Editorial via Getty Images I look for companies that, despite forecasting significant growth, are disliked on the market. This means, in detail, that I have screeners looking for companies that, on a forecasted basis, are set to grow their earnings by either theThis article was written byWolf Report35.18K FollowersFollowWolf Report is a senior analyst and private portfolio manager with over 10 years of generating value ideas in European and North American markets, and the owner of Wolf of Value, a service focusing on international dividend-paying value investments.He further covers the markets of Scandinavia, Germany, France, UK, Italy, Spain, Portugal and Eastern Europe in search of reasonably valued stock ideas.Analyst’s Disclosure: I/we have a beneficial long position in the shares of TMRAY either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. While this article may sound like financial advice, please observe that the author is not a CFA or in any way licensed to give financial advice. It may be structured as such, but it is not financial advice. Investors are required and expected to do their own due diligence and research prior to any investment. Short-term trading, options trading/investment and futures trading are potentially extremely risky investment styles. They generally are not appropriate for someone with limited capital, limited investment experience, or a lack of understanding for the necessary risk tolerance involved. I own the European/Scandinavian tickers (not the ADRs) of all European/Scandinavian companies listed in my articles. I own the Canadian tickers of all Canadian stocks I write about. Please note that investing in European/Non-US stocks comes with withholding tax risks specific to the company's domicile as well as your personal situation. Investors should always consult a tax professional as to the overall impact of dividend withholding taxes and ways to mitigate these.Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.