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CAST: Future Margin Gains From Cost Cuts Will Drive Upside Potential

Urbanization And ESG Trends Will Drive Modern Property Demand

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CAST
AnalystHighTarget
Not Invested
Published 25 Jun 2025

Update shared on 15 Dec 2025

Fair value Decreased 2.35%
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AnalystHighTarget's Fair Value
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1Y
-10.2%
7D
1.5%

Analysts have trimmed their price target on Castellum from 145.30 to 141.89, citing slightly slower expected revenue growth, offset by stronger profit margins and a lower anticipated future P/E multiple.

What's in the News

  • Castellum plans to cut its executive management team from 13 to 10 positions as part of a broader downsizing and efficiency program aimed at streamlining the organization and improving profitability (Key Developments).
  • The company intends to reduce its head office by about 60 roles, affecting approximately 45 employees and 15 consultants, with annual cost savings of around SEK 50 million expected by 2026 (Key Developments).
  • Several senior executives, including CFO Jens Andersson, Chief Investment Officer Kristina Sawjani, General Counsel Malin Löveborg and COO Sebastian Schlasberg, will leave the company as part of the reorganisation (Key Developments).
  • A new, smaller executive management team has been established, with CEO Pål Ahlsén and acting Head of Transactions and CFO Christoffer Strömbäck among the key members (Key Developments).
  • The company will discontinue its bonus scheme for all employees and executive management in 2026, and union negotiations have already been initiated regarding the planned changes (Key Developments).

Valuation Changes

  • The Fair Value Estimate has decreased slightly from SEK 145.30 to SEK 141.89, reflecting a modest downward adjustment in the intrinsic value assessment.
  • The Discount Rate has risen slightly from 9.39 percent to 9.81 percent, indicating a marginally higher required return and risk perception.
  • Revenue Growth has been revised down moderately from 2.48 percent to 1.98 percent, pointing to more conservative expectations for top line expansion.
  • The Net Profit Margin has increased meaningfully from 74.97 percent to 81.17 percent, implying improved operational efficiency and profitability assumptions.
  • The Future P/E has fallen slightly from 11.83x to 10.83x, suggesting a lower expected valuation multiple applied to Castellum's future earnings.

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Disclaimer

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