Only Fluidra (+8.61%) and Rovi (+4.44%) outperformed Indra (+3.54%) in an Ibex 35 that, over the course of February, dropped by 0.27%. Yet, it narrowly managed to keep above the psychological threshold of 10,000 points. However, without a doubt, the Madrid-based tech company is the star of the stock market year-to-date, boasting a 26.01% increase, surpassing Rovi (+23.01%) and Fluidra (+14.38%).
‘Indra (IDR) continues its sweet run in the stock market: marking three years of growth and leading the Ibex 35 gains in 2024’. That’s how this newspaper titled five weeks ago, and things have only gotten better since, with the company reaching record highs, free of short sellers in its capital—or at least, if there are any, none hold a stake equal to or greater than 0.50%—and with upside potential. In this regard, the 14 analysts covering IDR, according to MarketScreener, give it an average target price of 17.82 euros. In other words: almost 1% higher than yesterday. Eight of them recommend ‘buy’, and the remaining six ‘hold’.
IDR’s bullish momentum has boosted its market capitalization to 3.121 billion euros, surpassing six companies listed on the Ibex 35 when the tech firm used to be the least valued. Now trailing behind are Solaria (1.377 billion euros), Meliá Hotels (1.452 billion), Sacyr (2.109 billion), Unicaja Banco (2.507 billion), Colonial (2.709 billion), and Acerinox (2.742 billion).
Indra’s upward trend gained more momentum with the release of its 2023 financial results, a year in which it saw a 19.8% improvement in profit to 206 million euros. Additionally, the company reported revenues of 4.343 billion euros, marking a 12.8% increase from the 3.851 billion euros in 2022.
By markets, Spain accounted for 50% of the company’s billing, while America represented 21%, Europe 19%, and the Asia, Middle East, and Africa region 10%. “In 2023, the Defense and Technology sectors have continued to grow, and we have made a significant effort in continuous improvement in the work we do for our clients. We believe we have a great starting point for our new ‘Strategic Plan’ (which will be presented on March 6),” highlighted Indra’s Chairman, Marc Murtra.
From Dividends to Forecasts
Regarding dividends, Indra’s board of directors agreed to propose to the next general shareholders’ meeting the distribution of a cash dividend of 0.25 euros gross per share from the 2023 profits, to be paid on July 11, 2024.
Indra’s forecasts for 2024 aim for revenue of around 4.650 billion euros -in local currency-, which is a 7% increase from the 4.343 billion euros in the last fiscal year. Moreover, it expects to close this year with an Ebit of around 400 million euros, that is, a 15.3% increase from the 347 million euros