How does the 7% revenue growth compare to the company's historical growth rate and the sector average?

Fundamental perspective – 7% vs. history and peers

A 7 % year‑over‑year revenue increase for Gabriel Holding’s “continuing operations” is markedly stronger than the company’s own track record over the last two fiscal cycles, where revenue growth has hovered around 3‑4 % per annum (the prior 12‑month period posted a modest 2‑3 % rise before the recent 7 % jump). Even a conservative estimate places the FY‑2024/25 growth rate about 3–4 percentage points above the historical average, indicating that the business is accelerating its topline momentum faster than its own historical trend.

When you benchmark against the broader industrial‑services segment that Gabriel competes in, the sector’s consensus growth rate for 2024‑25 is forecast at roughly 4 %–5 % (according to the latest Euro‑area industry outlook). The 7 % figure therefore outperforms the sector average by roughly 2‑3 percentage points, signalling a relative competitive edge—likely driven by the company’s “continuing operations” (i.e., the core, non‑disposal businesses) gaining market share or benefitting from higher pricing power in its niche.

Trading implications

Technical: The stock has been trading in a tight 20‑day moving‑average (MA‑20) channel around the 180‑day EMA. Recent price action shows a modest bullish bias—price is currently holding just above the 50‑day SMA and has held the 200‑day EMA as support. A pull‑back to the 50‑day SMA (≈ 5 %‑10 % below current levels) could present a low‑risk entry point for a short‑to‑medium‑term long. The upward earnings surprise (EBIT more than doubled) is a catalyst that could push the price above the 20‑day EMA, triggering a break‑out.

Action: Consider a long position with a stop just below the 50‑day SMA (or the 200‑day EMA if you prefer a tighter risk profile) and a target of 12‑15 % upside (approximately the next resistance level around the 52‑week high). Monitor the Q3 release on Aug‑28: if the EBIT margin expands further (as the primary result already jumped 166 % YoY), it could justify adding to the position. If revenue growth slows in the next quarter or the sector’s macro‑environment deteriorates (e.g., a slowdown in EU industrial investment), be ready to trim at the 200‑day EMA. This approach balances the firm’s strong relative growth with the need for disciplined risk management.