Stock market analyst: buy Accell!

AMSTERDAM, the Netherlands – SNS Securities has upgraded the rating of Accell Group from Add to Buy and targets the price at € 32 within 12 months (today € 26,97). According to equity analyst SNS Securities, investors are underestimating the growth potential of this company, especially because of the expected success of electric bikes in Germany. In a report published today the broker-dealer announced expected large increases in sales of e-bikes in Germany following the success of this product in The Netherlands. According to SNS Securities: “The experience in Dutch E-bike market shows a huge potential. Both markets have great similarities. They are bicycle minded countries, with ageing populations, high demands for comfort and an open mind for environmental friendly and healthy commuting solutions.”
SNS Securities expects the e-bike market in Germany to grow from euro 31 million in 2006 to euro 260 million in 2010 (or 190.000 units). SNS calculates an average retail price of € 1,400, for a pedelec of e-Bike which is much lower than the prices for electric bikes on the Dutch market. According to SNS Securities Accell Group should be able to obtain a market share of at least 25%, (euro 55 million) on the German e-bike market. Until recently Accell only sold e-bikes in Germany under its brand names Sparta, Batavus and Koga. This spring the Hercules electric bikes will be introduced. The real kick of in sales in Germany is expected as of 2008.