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European Policy And New Export Markets Will Stimulate Defense Demand

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W5
AnalystConsensusTarget
Not Invested
Published 12 May 2025

Update shared on01 Aug 2025

Fair value Increased 13%
AnalystConsensusTarget's Fair Value
SEK 79.50
22.0% undervalued intrinsic discount
15 Aug
SEK 62.00
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1Y
13.3%
7D
-5.5%

The higher Analyst Price Target for W5 Solutions primarily reflects an increase in expected future P/E multiples, with fair value revised up from SEK70.17 to SEK75.83.


What's in the News


  • Secured SEK 57 million order from KNDS Germany to design and deliver simulator cabins for Swedish Armed Forces' CV90 simulators, with deliveries between 2025 and 2028.
  • Awarded SEK 48 million order (plus SEK 35 million option) from Swedish FMV for advanced live fire training systems, expanding a previously announced SEK 20 million contract for delivery in 2025–2026.
  • Business area Power received a SEK 56 million export order from the UK for simulator hardware systems, with delivery scheduled from 2025 to 2028.
  • Öhrlings PricewaterhouseCoopers AB (PwC) appointed as new auditor, with Andreas Skogh as principal auditor.
  • Actively seeking M&A targets in the Nordic defense sector, focusing on profitable companies with majority defense revenue and approximately SEK 100 million turnover.

Valuation Changes


Summary of Valuation Changes for W5 Solutions

  • The Consensus Analyst Price Target has risen from SEK70.17 to SEK75.83.
  • The Future P/E for W5 Solutions has risen from 26.24x to 28.01x.
  • The Net Profit Margin for W5 Solutions remained effectively unchanged, moving only marginally from 8.60% to 8.71%.

Disclaimer

AnalystConsensusTarget is a tool utilizing a Large Language Model (LLM) that ingests data on consensus price targets, forecasted revenue and earnings figures, as well as the transcripts of earnings calls to produce qualitative analysis. The narratives produced by AnalystConsensusTarget are general in nature and are based solely on analyst data and publicly-available material published by the respective companies. These scenarios are not indicative of the company's future performance and are exploratory in nature. Simply Wall St has no position in the company(s) mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The price targets and estimates used are consensus data, and do not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that AnalystConsensusTarget's analysis may not factor in the latest price-sensitive company announcements or qualitative material.