Skanska (Hold, TP: SEK235.00) - Q4e upside potential versus consensus, but 2022e downside
With Q4 orders set to include a large US contract announced in early January, we expect Q4 order intake and EBIT to beat consensus ahead of the results (due at 07:30 CET on 3 February). However, we believe consensus is too bullish on 2022e EPS, failing to discount management comments of there being few “ready to sell” projects in Property Development (PD). Any PD comments will be among our Q4 focus points, as will any more details on the upcoming Investment Property (IP) division. We reiterate our HOLD, while we have raised our target price to SEK235 (230).Skanska is a project development and construction group, concentrated on selected home markets in the Nordic region, European countries and in the Americas. Co.'s business streams are: construction, which includes building and civil construction; residential development, which develops residential projects for immediate sale; commercial property development, which initiates, develops, leases and divests commercial property projects, with project development focusing on office buildings, retail and logistics properties; and infrastructure development, engaged in identifying, developing and investing in privately financed infrastructure projects, such as highways, hospitals and schools.
DNB Markets is the investment banking arm of DNB Bank ASA and is focused primarily on the Nordic region, as well as internationally on niches such as global shipping, energy and related services, and seafood. DNB Markets offers services in FICC, Equities and Investment Banking advisory from offices in Oslo, Stockholm, London, Singapore and New York. Equity research coverage is offered on c250 Nordic companies. DNB was ranked no.2 in Extel Nordic Research 2017. The DNB Markets’ Credit and FICC Macro & FX Research teams are repeatedly highly rated by Prospera Nordic Institutional Investor Surveys.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.