Checkpoint Partners Issues Buy Recommendation on Lleida.net

Madrid, 27 March 2026 – Checkpoint Partners has initiated coverage on Lleida.net (BME: LLN) (EPA: ALLLN) with a buy recommendation and a 12-month price target of €3.50 per share, according to a report released by the firm.

Analyst Guillermo Serrano describes the company as one of the most significantly undervalued stocks in its sector, noting that Lleida.net trades at a 60–70% discount to comparable companies.

The report points to improving profitability, with widening margins and low capital intensity, alongside a free cash flow yield of 18%.

Checkpoint highlights Lleida.net’s certified electronic notification platform as a defensive, regulation-backed business, supported by the European eIDAS framework and an extensive patent portfolio. These factors, the report argues, provide structural protection against pricing pressures seen across the broader communications technology sector.

“Lleida.net offers the most asymmetric risk-reward profile in the sector,” the report states, based on a comparison with nine cPAAs (Communications Platform as a Service) peers.

It adds: “A profitable, moderately leveraged business generating an 18% free cash flow yield is being priced as if it were distressed. That is not the case.”

The company reported 8,886 active clients at the start of 2026, up 55.62% year-on-year, marking the fastest growth in its history.

Growth has been driven by rising adoption of its patented technologies following regulatory changes in Spain and Europe, including Organic Law 1/2025, which promotes the digitalisation of judicial processes. Spain handles around 3.5 million legal proceedings annually, all of which fall within the scope of the reform.

In a statement published on 19 February 2026, Lleida.net said it had delivered record financial results in 2025. EBITDA rose 25% year-on-year to €4.05 million, while pre-tax profit increased 62% to €1.40 million, both historic highs.

Founded in 1995, Lleida.net is a European provider of certified electronic communications, e-contracting, and digital signature solutions, with more than 300 patents registered across over 60 countries.

The company is listed on BME Growth in Madrid, as well as on Euronext Paris and the Stuttgart and Frankfurt stock exchanges.