BofA: Atlas Copco Heading into New Phase of 'Strong' Growth; Price Objective, Forecasts Up

MT Newswires · 2d ago
01:22 AM EDT, 07/20/2026 (MT Newswires) -- BofA Global Research lifted its price objective and forecasts for Atlas Copco (ATCO-A.ST, ATCO-B.ST) amid expectations that the company is set to begin a new up-cycle. "Atlas Copco's 26% Q2 org order growth confirms our view that the company is entering a new phase of strong growth. In fact, the growth was much stronger than even we had anticipated. It was also not just driven by semis (VT +59%) but compressors (CT +19%) and autos/construction (IT/PT +11/14%) too," analysts said Friday. "Q2 did benefit from exceptional large order bookings (LNG & autos) plus easy comps, but we still expect order growth to be double-digit for the foreseeable future (BofAe Q3/Q4 +21/20% vs pre-results cons +9/10%)." The Swedish industrial group is now anticipated to see an organic order growth of more than 20% in the second half, against the Visible Alpha consensus estimate of 10%. Looking further ahead, the research firm lifted its operating profit estimates by 0.5% for 2026, 5.7% for 2027 and 6.8% for 2028. Sales, order and EPS projections for all three years were also raised.