Borussia Dortmund - A full recovery

Borussia Dortmund is a leading football club with a strong track record of success in its domestic league, making it a relatively consistent competitor in Europe’s top club competitions. This success has been achieved with a level of player investment that should be the envy of its peers. The first team, backed by a full stadium of fans (thanks to lifted COVID-19 restrictions), came as close to winning the Bundesliga in the 2022/23 season as is possible without actually winning it. This first season without COVID-19 restrictions led to the expected full recovery in financial results to pre-COVID-19 levels. Despite the recovery in profitability, the share price continues to trade at a significant discount to pre-COVID-19 levels, its quoted peers and our asset-backed valuation of €10.63 per share, suggesting significant upside to the current share price.