• Lind Research
  • Posts
  • [Idea note] - Inwido: Quality Company at Full Valuation

[Idea note] - Inwido: Quality Company at Full Valuation

Kavaljer believes Inwido is a high-quality company; however, the fund argues that the current valuation is too steep.

Author

Kristoffer Lindström
July 10, 2025

Idea note

This is an Idea note; It’s a collection of early signals – companies mentioned in fund letters, blogs, or by sharp investors online. Not a full pitch, just a starting point for ideas that might be worth a more in-depth look.

Quality Windows Company Priced for Perfection

Idea source: Kavaljer

Price: 207.8 SEK (2025-07-10)

Inwido AB - Europe’s leading window and door manufacturer with 35 business units across 12 countries, operating in the building materials sector on Nasdaq Stockholm

Ticker: INWI | Timeframe: 12 months | 😐 Neutral

Kavaljer believes Inwido is a high-quality company that has delivered strong operational performance and successfully navigated challenging market conditions through organic growth and strategic acquisitions. However, the fund argues that the current valuation at P/E 22x and EV/EBIT 16x fully reflects the company’s positive prospects, limiting future outperformance potential. Kavaljer anticipates P/E multiple contraction rather than expansion, leading to their decision to sell despite believing in continued earnings growth.

  • Setup: Quality European windows/doors leader trading at historically elevated multiples.

  • Latest Development: Strong Q1 2025 results with 10% revenue growth and margin expansion.

  • Valuation Concern: P/E 22x vs historical 15-17x average, EV/EBIT 16x vs 12-14x historical.

  • Timing: Post-strong performance period with limited multiple expansion potential.

  • Risk: Market normalization could drive multiple compression despite earnings growth.

Disclaimer - Not Investment Advice

The content on Lind Research is for informational purposes only and should not be considered as investment advice financial advice. One should always consult a qualified professional before making any investment decisions. Investments carry risks, including the potential loss of capital. Lind Research and its authors bear no liability for decisions made based on the information provided here. All views are personal and not reflective of any company mentioned. Lind Research, it’s affilaites, personnel, clients and/or partners might hold investments in securites discussed.

By accessing Lind Research, you acknowledge and agree to this disclaimer.