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Added to YB: 2025-01-15

Pitch date: 2025-01-15

RFG.MI [bullish]

Racing Force S.P.A.

+46.42%

current return

Author Info

Company Info

Racing Force S.P.A. engages in the production of safety equipment for the racing and motorsport industry in the Americas, Asia, Oceania, Europe, the Middle East, and Africa.

Market Cap

EUR 144.3M

Pitch Price

EUR 3.62

Price Target

N/A

Dividend

1.70%

EV/EBITDA

16.92

P/E

31.09

EV/Sales

2.25

Sector

Leisure Products

Category

growth

Show full summary:
Pilot

RFG.MI (new position): Racing safety equipment leader (OMP racewear, Bell helmets) w/ entrenched brands, regulatory moat via FIA homologation, 62% gross margins vs Sparco's 36%. 2023-24 transition from margin-depressing capex/inventory build now complete. 2026E €75-85M rev, 15%+ EBIT margins = 7-8x EV/EBIT vs quality. NGFWH: 20K helmets over 2yrs to USAF at $600-900 ea = $12-18M incremental high-margin rev (vs €63M LTM). Upside from Gladiator/PR helmets, heli aircrew market, NATO expansion. CEO owns 48%, proven M&A. Risk: ROIC if demand misjudged, dilution history, execution on diversification

Read full article (26 min)