BIMAS Tacirler Investment Company Report

Brighter outlook for the 2Y23E period…

We are increasing our target price for BIM from 222.00 TL per share to 350.00 TL through the strong 2Q23 operational performance and high food inflation. While our 12- month target price indicates a 35% return potential we changed our recommendation to HOLD from BUY. Increasing store rollouts and the growing average basket size supported strong sales figures. While consumers' high demand for discounted products continues with the high course of food inflation, we believe that BIM will continue to grow with the support of its own branded product sales and various sales channels. We calculate that BİM will increase its net income in the 2023E period by 49% YoY and its 2024E period net profit by 39% YoY. BIM trades at 13.6x P/E multiplier in our 2023E forecasts and 9.8x P/E in 2024E forecasts.