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1. Company Snapshot

1.a. Company Description

Wawel S.A. produces and sells cocoa, chocolate, and confectionary products in Poland.It offers a range of chocolate bars, cocoas plums, vanilla souffles, chocolate pastilles, chocolate coated candies, fresh and fruity jellies, dragon gummies, tofflairs, cream fudges, caramels, choco mints, and cocoa products.The company sells its products to retail and discount chains.


It also exports its products.The company was founded in 1898 and is headquartered in Kraków, Poland.Wawel S.A. is a subsidiary of Hosta International AG.

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1.b. Last Insights on WWL

Wawel S.A.'s recent performance was positively driven by strong sales growth. The company's business conditions have been evolving favorably. Additionally, there were no significant legal issues or negative events reported. Wawel's product offerings remain competitive. No recent earnings release or acquisitions were found to impact the stock. A potential share buyback could be a positive factor, but no information was available. According to recent news, several companies in related industries have seen positive momentum, potentially indicating a favorable market environment.

1.c. Company Highlights

2. Transcript Summary

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3. NewsRoom

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Polish confectioner Wawel to ramp up production capacity

Nov -03

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4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (4.82%)

6. Segments

Confectionary Products

Expected Growth: 4.83%

Wawel S.A.'s confectionary products segment growth of 4.83% is driven by increasing demand for premium and sugar-free products, expansion into new markets, and strategic partnerships. Additionally, the company's focus on innovation, quality, and branding has contributed to its market share growth.

Goods and Materials

Expected Growth: 4.6%

Wawel S.A.'s 4.6% growth in Goods and Materials is driven by increasing demand for confectionery products, particularly in Eastern Europe. Rising consumer spending, strategic partnerships, and effective cost management also contribute to this growth. Additionally, Wawel's focus on innovation, quality, and brand recognition helps to maintain market share and drive sales.

Retail

Expected Growth: 4.83%

Wawel S.A.'s retail segment growth of 4.83% is driven by increasing demand for confectionery products, successful marketing campaigns, and strategic expansion into new markets. Additionally, the company's focus on e-commerce and omnichannel sales has contributed to the growth, as well as its ability to adapt to changing consumer preferences and behaviors.

7. Detailed Products

Chocolate Bars

Wawel S.A. offers a wide range of chocolate bars with unique flavors and fillings, catering to diverse tastes and preferences.

Seasonal Confectionery

Wawel S.A. produces seasonal confectionery products, such as Easter eggs, Christmas chocolates, and other festive treats.

Biscuits and Wafers

Wawel S.A. offers a variety of biscuits and wafers, including sandwich biscuits, cream-filled wafers, and more.

Cakes and Pastries

Wawel S.A. produces a range of cakes and pastries, including traditional Polish desserts and modern creations.

Ice Cream

Wawel S.A. offers a variety of ice cream flavors, from classic vanilla and chocolate to unique and fruity flavors.

8. Wawel S.A.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Wawel S.A. has a moderate threat of substitutes due to the presence of alternative confectionery products in the market.

Bargaining Power Of Customers

Wawel S.A. has a high bargaining power of customers due to the large number of customers and the ease of switching to alternative products.

Bargaining Power Of Suppliers

Wawel S.A. has a low bargaining power of suppliers due to the company's large scale of operations and its ability to negotiate better prices.

Threat Of New Entrants

Wawel S.A. has a moderate threat of new entrants due to the moderate barriers to entry in the confectionery industry.

Intensity Of Rivalry

Wawel S.A. operates in a highly competitive market with many established players, leading to a high intensity of rivalry.

9. SWOT Analysis

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 1.31%
Debt Cost 5.01%
Equity Weight 98.69%
Equity Cost 5.01%
WACC 5.01%
Leverage 1.33%

11. Quality Control: Wawel S.A. passed 6 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
M.P. Evans

A-Score: 7.5/10

Value: 6.6

Growth: 8.0

Quality: 8.1

Yield: 6.2

Momentum: 9.5

Volatility: 6.7

1-Year Total Return ->

Stock-Card
Rogers Sugar

A-Score: 7.2/10

Value: 7.2

Growth: 5.4

Quality: 4.7

Yield: 9.0

Momentum: 7.0

Volatility: 10.0

1-Year Total Return ->

Stock-Card
UIE

A-Score: 6.8/10

Value: 5.4

Growth: 4.4

Quality: 7.9

Yield: 7.5

Momentum: 7.5

Volatility: 8.3

1-Year Total Return ->

Stock-Card
Sipef

A-Score: 6.8/10

Value: 6.7

Growth: 5.1

Quality: 7.2

Yield: 3.1

Momentum: 9.0

Volatility: 9.3

1-Year Total Return ->

Stock-Card
Wawel

A-Score: 5.8/10

Value: 5.9

Growth: 4.6

Quality: 6.4

Yield: 3.1

Momentum: 6.5

Volatility: 8.3

1-Year Total Return ->

Stock-Card
Tokmanni

A-Score: 5.0/10

Value: 7.1

Growth: 4.8

Quality: 3.2

Yield: 9.4

Momentum: 2.5

Volatility: 3.0

1-Year Total Return ->

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

694.0$

Current Price

694$

Potential

-0.00%

Expected Cash-Flows