Are Skanska's (OM:SKA B) Global Project Wins Strengthening Its Competitive Position in Resilient Sectors?

• In recent weeks, Skanska announced several significant contract wins across the US, Europe, and the Nordics, including a US$148 million power generation facility in New Jersey, a €261 million highway in Slovakia, residential land acquisitions in Norway, and additional commercial and residential projects in key growth regions.
• These combined developments underline Skanska’s expanding project pipeline, geographic diversification, and ability to secure high-value contracts in resilient sectors such as infrastructure, energy, and sustainable real estate.
• We'll explore how these multi-market project wins, especially the addition of a major US infrastructure contract, support the company’s investment narrative.

Uncover the next big thing with financially sound penny stocks that balance risk and reward.

Skanska Investment Narrative Recap

To be a Skanska shareholder, you need to believe in the company's ability to maintain healthy order intake and project execution across diverse geographies, helping offset softness in core Nordic and US commercial property markets. The recent wave of contract wins, including major US and European infrastructure projects, adds visibility to near-term revenues and supports the record-high order backlog, though it does not yet resolve ongoing risks from weak transaction volumes in property development or the impact of cost inflation. Among recent announcements, the securement of a US$148 million contract for a standby power generation facility in Newark, New Jersey highlights how Skanska continues to win infrastructure work in resilient sectors. This directly aligns with broader catalysts, such as the strong demand for energy and water infrastructure, which underpins group earnings stability even as parts of the market remain volatile. But, with US property divestments still lagging due to high interest rates, investors should be aware that...

Read the full narrative on Skanska (it's free!)

Skanska's narrative projects SEK206.4 billion in revenue and SEK9.0 billion in earnings by 2028. This requires 3.8% yearly revenue growth and an earnings increase of SEK2.8 billion from the current SEK6.2 billion.

Uncover how Skanska's forecasts yield a SEK268.00 fair value, in line with its current price.

Exploring Other Perspectives

Six members of the Simply Wall St Community estimate Skanska's fair value from SEK160 to SEK338.21. While some see market weakness as a risk, many highlight Skanska's ongoing infrastructure wins as supporting mid-term performance, so check several viewpoints.

Explore 6 other fair value estimates on Skanska - why the stock might be worth as much as 27% more than the current price!

Build Your Own Skanska Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Skanska research is our analysis highlighting 3 key rewards and 1 important warning sign that could impact your investment decision.
• Our free Skanska research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Skanska's overall financial health at a glance.

Contemplating Other Strategies?

Early movers are already taking notice. See the stocks they're targeting before they've flown the coop:

• The end of cancer? These 28 emerging AI stocks are developing tech that will allow early identification of life changing diseases like cancer and Alzheimer's.
• Find companies with promising cash flow potential yet trading below their fair value.
• AI is about to change healthcare. These 32 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10b in market cap - there's still time to get in early.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com