discoverIE Group PLC has the potential to reach a share price of 1,250p within four years, according to broker Shore Capital, as it looks increasingly likely the group will meet its targets.

“We expect the company’s consistent double-digit EPS growth to continue as end markets recover post-pandemic and highlight the group’s increasing exposure to attractive end markets.

“The company is well placed to benefit from a range of long-term trends, in our view, including increased electrification in industrial applications, rail transportation, increased investment in renewable energy and an increase in AI and sensing in the medical sector.

“We believe these trends have accelerated significantly since the start of the COVID-19 pandemic.”

Earlier, discoverIE reported first-quarter sales up 21{f08ff3a0ad7db12f5b424ba38f473ff67b97b420df338baa81683bbacd458fca} at constant currency (up 16{f08ff3a0ad7db12f5b424ba38f473ff67b97b420df338baa81683bbacd458fca} on an organic basis and up 10{f08ff3a0ad7db12f5b424ba38f473ff67b97b420df338baa81683bbacd458fca} organically with growth consistent across both Design & Manufacture and Custom Supply.

The order book grew 50{f08ff3a0ad7db12f5b424ba38f473ff67b97b420df338baa81683bbacd458fca} on an organic basis (30{f08ff3a0ad7db12f5b424ba38f473ff67b97b420df338baa81683bbacd458fca} up organically versus Q1’FY20A). Orders grew by 83{f08ff3a0ad7db12f5b424ba38f473ff67b97b420df338baa81683bbacd458fca} and 35{f08ff3a0ad7db12f5b424ba38f473ff67b97b420df338baa81683bbacd458fca} organically versus Q1’FY21A and Q1’FY22A, respectively, well ahead of sales.

Shares rose 2.6{f08ff3a0ad7db12f5b424ba38f473ff67b97b420df338baa81683bbacd458fca} to 1,038p.

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