Shares in BBaltic Classifieds Group PLC (LSE:BCG) fell 6% after Deutsche Bank downgraded stock in the media group 'hold' from 'buy' despite a strong set of interim results.
The move follows a detailed review of the company’s performance. Revenue rose 17% to €41.8 million, slightly above DB's forecast of €41.4 million. Adjusted EBITDA margin increased to 79%, yielding an EBITDA of €32.9 million, surpassing the bank's projection of €32.2 million.
Divisional growth was led by the Real Estate segment, which grew 26%. The Auto and Jobs & Services divisions also performed well, both recording 17% growth. The Generalist division saw a more modest 4% increase.
Deutsche has revised upwards the target price from 329p to 373p - a 15% premium to the current price of 325p (down 23.5p on the day).