Kepler Cheuvreux raises its target price for Dynavox to SEK 75 (70), according to a new analysis. Buy is reiterated.

The revision comes as the research house raises its expectations for both gross margin and operating margin in 2025-2026.

For the gross margin, the revision is up 1.5 percentage points for both years. According to Kepler, the margin is expected to benefit in the short term from the launch of both the TD Navio and the second-generation TD I-110.

"Improved gross margin and stabilized administrative expenses should support profits in the fourth quarter of 2024 as well as 2025 and 2026," Kepler writes.

Operating margin estimates are raised by 2.2 percentage points for 2025 and 1.6 percentage points for 2026.

"Adjusted for potential one-time costs related to the recently announced R&D reorganization, we estimate that Dynavox could reach the limit of the company's ebit margin target (reaching and exceeding 15 percent) in fiscal 2025," Kepler writes.

Dynavox rises 5,8 on the stock exchange. The rise is also strengthened by the fact that EFN Finansmagasinet has separately given a buy recommendation for the company.