Original-Research: LION E-Mobility AG (von NuWays AG): BUY

Classification of NuWays AG to LION E-Mobility AG

Company Name:	LION E-Mobility AG
ISIN:	CH0560888270
Reason for the research:	Update
Recommendation:	BUY
Target price:	EUR 3.2
Target price on sight of:	12 months
Last rating change:
Analyst:	Sarah Hellemann

First BESS containers on the ground in Germany Yesterday, LION announced its first delivery of BESS containers to Finsterwalde (Eastern Germany). Here are the next steps and what this means for group's Storage business in detail: Timeline on first construction phase specified. First containers were already delivered to the location of project developer Renoc GmbH. A LION Smart team is at the site and has started the next step of grid connection works. Now pending grid approval, commissioning is planned for July on 5 MW installed capacity and storage capacity of 20 MWh (eNuW: total project value € 750k, prepayments received Q4 2025). Second construction phase planned for early 2027. For the same project, a further expansion to 15 MW installed power and 40 MWh storage is intended to follow early next year (eNuW: project value € 1.5m). A partial advance payment is anticipated for the second half of 2026. This clearly supports our view of rising BESS sales volumes in H2 2026 (eNuW). LION in advanced talks for further customer signings. As highlighted in the Q1 earnings announcement, LION is currently negotiating further concrete deals from its 7.5 Gwh project pipeline (not yet signed), which has a total revenue potential of some € 280m, in our view. Impact on Storage: While the short-term impact on the group's P&L is rather limited, the project validates one of the mid-term growth pillars of LION. The pent-up demand for storage solutions in Europe is significant while the bottleneck is clearly grid connection approvals. Once this eases, LION's Storage business looks set to meaningfully contribute to group earnings. Looking ahead, we continue to expect LION to deliver on its FY26 guidance of more than € 35m sales (eNuW: € 36m) and a strongly positive EBITDA (€ 5.7m), mainly driven by the ramp-up of the new NMC+ production, which is supported by several key customers already having placed orders but also a stronger H2 for Storage. We confirm our BUY rating with an unchanged € 3.2 PT, based on DCF. You can download the research here: lion-e-mobility-ag-2026-05-28-update-en-9e26b For additional information visit our website: https://www.nuways-ag.com/research Contact for questions: NuWays AG - Equity Research Web: www.nuways-ag.com Email: research@nuways-ag.com LinkedIn: https://www.linkedin.com/company/nuwaysag Adresse: Mittelweg 16-17, 20148 Hamburg, Germany ++++++++++ Diese Meldung ist keine Anlageberatung oder Aufforderung zum Abschluss bestimmter Börsengeschäfte. Offenlegung möglicher Interessenkonflikte nach § 85 WpHG beim oben analysierten Unternehmen befindet sich in der vollständigen Analyse. ++++++++++