DIGI Spain Telecom’s shares surged 4.3% to €6.93 on Tuesday, extending gains to a new 52-week intraday high of €7.10. The stock closed at €6.64 on Monday, bringing its post-IPO rise to more than 18%.
Citigroup initiated coverage with a Buy rating and set a price target of €8.3, citing expectations of 14% annual revenue growth and 28% EBITDA-after-leases growth between 2025 and 2028. The bank does not anticipate operating free cash flow after leases turning positive until 2029. Broader analyst targets reach as high as €8.50.
The company reported first-half 2026 results on August 13, showing revenue up about 16% year-on-year to roughly €515 million. Adjusted EBITDA before operating leases jumped roughly 48% to about €104 million, with margins expanding to around 20%.
Management reaffirmed full-year 2026 guidance for revenue growth of approximately 15.7%, EBITDA margins in the low 20s, and capital expenditure near €400 million. It also set a mid-term EBITDA margin target above 30%.
Subscriber growth continued, with fixed broadband customers reaching about 2.9 million and mobile subscribers totaling roughly 7.8 million.
