Surgical Science (Buy, TP: SEK205.00) - Still cautiously optimistic

We expect a solid start to 2025 following the soft 2024, with 27% revenue growth YOY in Q1 to SEK239m, and EBIT of SEK26m. Tariff issues do not affect our long-term view but do present short-term uncertainty. We reiterate our BUY and SEK205 target price.

Surgical Science (Buy, TP: SEK205.00) - Cautious optimism

Total revenue was a record SEK252m in Q4 (up 11% YOY versus our estimate of 14% and consensus of 15%). We expect continued growth in Industry/OEM and have a cautiously optimistic outlook in Educational for 2025e. We reiterate our BUY, but have lowered our target price to SEK205 (218).

Surgical Science (Buy, TP: SEK218.00) - Turning the page on 2024 – sta...

Following a change of analyst, we have updated our model and cut our target price to SEK218 (225), but reiterate our BUY on what we view is a still-solid case fundamentally. For Q4, we forecast 14% total revenue growth YOY and EBITDA of SEK69m, for a 27% margin.

Surgical Science (Buy, TP: SEK225.00) - Mixed Q2 report; solid growth ...

A mixed Q2 report, with sales in line but adj. EBIT below our estimate, was largely due to a one-off effect and slightly lower activity in Industry/OEM. We have lowered our 2024–2026 estimates slightly, but a strong outlook for H2 and 2025 means we reiterate our BUY and SEK225 target price. We believe the current weak share price presents an opportunity for long-term investors.

Surgical Science (Buy, TP: SEK225.00) - The worst has likely passed

We forecast Q2 total sales down 1% YOY but up 14% QOQ, an adj. EBIT margin of 23%, and adj. EBIT of SEK49m (up 300bp QOQ). We reiterate our BUY, but have cut our target price to SEK225 (230).

Surgical Science (Buy, TP: SEK230.00) - Weaker than expected start to ...

The weak Q1 results, with sales and adj. EBIT below our estimates, were largely due to a significant slowdown in Educational products. We have marginally revised our 2024–2026e on the strong management outlook for 2024, and reiterate our BUY and SEK230 target price. We believe the weak share price reaction on the report presents an opportunity for long-term investors.

Surgical Science (Buy, TP: SEK230.00) - Tough comparables in Q1

We expect a 4% slide YOY in sales in Q1, and an adj. EBIT margin of 25% versus 26% in Q1 2023 (the results are due at 07:30 CET on 15 May). We reiterate our BUY, but have lowered our target price to SEK230 (235).

Surgical Science (Buy, TP: SEK235.00) - Affected by economic turmoil

The Q4 results were on the weak side, with sales and adj. EBIT below our estimates, largely due to a significant slowdown in Educational products. We have cut our 2024–2026e sales and profitability by 8–20%, but see an attractive story long-term. We reiterate our BUY, but have cut our target price to SEK235 (241).

Surgical Science (Buy, TP: SEK241.00) - Still-tough comparables in Q4e

We expect Q4 total sales growth of 5% YOY and an adj. EBIT margin of 27%, with the highly profitable licensing revenues up c29% YOY. We reiterate our BUY, but have lowered our target price to SEK241 (257) on minor estimate changes. The results are due at 07:30 CET on 21 February.

Surgical Science (Buy, TP: SEK257.00) - Strong cash flow generation

Q3 was solid, with sales and EBIT c2% below our estimates, but adj. EBIT 16% above. Weaker licence sales were offset by solid cost control, price increases and resilient product mix outside licences. The QOQ slowdown was mainly due to Educational Products. We have raised our 2023–2025e EPS by 1–4%. We reiterate our BUY but have increased our target price to SEK257 (254).

Surgical Science (Buy, TP: SEK254.00) - Mixed comparables for Q3e

We expect total sales growth of 4% YOY in Q3 at a 23% adj. EBIT margin, with the highly profitable licensing revenues growing c86% YOY. We reiterate our BUY, but have lowered our target price to SEK254 (260) on reduced peer-group multiples.

Swedish Small-caps:Selected names on our radar Autumn 2023

Swedish Small-caps:Selected names on our radar Autumn 2023

Northern Lights

Surgical Science (Buy, TP: SEK260.00) - Bump in the road

The Q2 results were mixed, with sales and EBIT c7% and 5% below our estimates, largely due to a slight slowdown in Educational Products. We have cut our 2023–2025e sales and profitability by 5–10%. We reiterate our BUY, but have reduced our target price to SEK260 (282).