Tacirler Investment Company Report

Lider Faktoring

LIDFA (the leader) is ready for macroeconomic rematch…

We initiate the coverage of Leader Factoring in our research scope with a target price of TL15.57 for a 12-month period, recommending a BUY with a potential return of 102%. i) The company's and partners' experience of over 30 years in the sector, coupled with a strong know-how capacity, ii) the economic conjuncture creating the optimal environment for factoring companies, iii) Leader Factoring's effective diversification of its portfolio among small/large customers in terms of customer, sectoral, and geographical bases, stands out as the main theme of our valuation. We believe that the high equity profitability realized in the first 9 months of the year will continue to drive revenue and profitability growth in 2024. Positioned as attractive in terms of current Mcap, the company trades at a multiple of 2.8x P/E in our 2023E estimates and 1.3x P/E in our 2024E estimates.