Update shared on 29 Nov 2025
Analysts have revised Tomra Systems' price target downward from NOK 155 to NOK 135. This change reflects concerns about persistent rollout challenges in deposit return systems, rising competition, and continued softness in the recycling segment.
Analyst Commentary
Following recent updates, analysts have provided a range of perspectives on Tomra Systems’ outlook. These views focus on the company's current valuation, execution risks, and future growth potential, reflecting both optimism and ongoing caution in the market.
Bullish Takeaways
- Bullish analysts highlight the upgrade in recommendation, indicating potential for upside at the current share price.
- The stock is seen as attractively valued after recent declines, providing a more compelling entry point for investors willing to look past near-term challenges.
- Despite headwinds, there is confidence in Tomra Systems’ long-term position within deposit return systems, a segment seen as having structural growth opportunities.
Bearish Takeaways
- Analysts remain concerned about persistent rollout risks in new markets for deposit return systems, which affect earnings visibility over the near term.
- Intensified competition is expected to pressure profitability and market share, creating execution risk for Tomra’s growth strategy.
- Ongoing weakness in the recycling segment continues to impact results, supporting a more cautious stance on the company’s valuation and growth trajectory.
- Given subdued earnings momentum and structural headwinds, bearish analysts believe the share’s discount relative to historical levels is justified for now.
What's in the News
- TOMRA has received an order for 3,000 reverse vending machines to be supplied to Dino Polska, a major retail chain in Poland. Installations will begin soon and continue through the first half of 2026 (Client Announcements).
- Poland launched its deposit return system on 1 October 2025, covering single-use plastic bottles, reusable glass bottles, and metal cans. TOMRA is supporting retailers with both standalone and high-volume solutions (Client Announcements).
- Tomra Systems ASA has been added to the Oslo OBX Total Return Index (Index Constituent Adds).
Valuation Changes
- Consensus Analyst Price Target has decreased from NOK 155 to NOK 135, reflecting a more cautious outlook.
- Discount rate has risen slightly, moving from 8.06% to 8.10%.
- Revenue growth projections remain unchanged at 16.88%.
- Net profit margin is virtually flat, at 11.53% both before and after the update.
- Future P/E ratio is nearly steady, increasing marginally from 19.3x to 19.32x.
Disclaimer
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