Northern Lights

Cargotec (Sell, TP: EUR39.00) - Sales beat, but weak drop-through

Cargotec delivered impressive sales and order intake growth, with Hiab and Kalmar beating Q1 estimates. However, sales had a lower incremental margin, and adjusted EBIT was in line with consensus. Therefore, we do not expect a significant increase in consensus for 2018e. We see a cyclical downturn for Hiab, more than offsetting the MacGregor recovery in 2019–2020e. We forecast profitability pressure for Kalmar from reducing project workload. We reiterate SELL, and have raised our target price to EUR39 (38).

Northern Lights

Kemira (Buy, TP: EUR23.00) - Softening in packaging

We have cut our 2025–2027e clean EPS by an average of c4% on a weaker than expected Q1 and our lowered estimates, mainly for Packaging & Hygiene and Fiber. The share price suggests an attractive 2025e EV/EBITDA of c5.5x and c25% upside potential to our lowered target price of EUR23 (25). We reiterate our BUY.

Norion Bank (Buy, TP: SEK49.00) - Signs of recovery in past-due loans

Past-due real-estate loans have started to come down, with Q1 profit boosted by the recognition of accrued interest revenues. We expect this to trend to continue over time, and see continued upside potential from this, along with our forecast 15–20% average annual total yield. We reiterate our BUY and target price of SEK49.

Yara (Buy, TP: NOK425.00) - Volumes/costs aid Q1 EBITDA beat

Q1 EBITDA beat our estimate by 19% and consensus by 22%, with help from solid volumes, lower energy costs and a higher share of premium products sold, FX tailwinds and further cost reductions. Its FID on the blue ammonia projects is still set for H1 2026 and it continues to highlight the strategic rationale of the investment. Our estimates are largely unchanged (no change to 2026–2027e EPS), with higher earnings following the report broadly offset by slightly lower nitrate prices in recent weeks. We reiterate our BUY and NOK425 target price.