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Atlas Copco AB (SE:ATCO.A)
:ATCO.A

Atlas Copco AB (ATCO.A) AI Stock Analysis

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SE:ATCO.A

Atlas Copco AB

(ATCO.A)

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Neutral 67 (OpenAI - 4o)
Rating:67Neutral
Price Target:
kr174.00
▼(-1.19% Downside)
Atlas Copco AB's overall stock score reflects its strong financial performance, which is the most significant factor, supported by stable profitability and effective cash flow management. The technical analysis indicates a neutral trend, while the valuation suggests a potential overvaluation. The absence of earnings call data and corporate events limits additional insights.
Positive Factors
Strong Balance Sheet
A strong balance sheet with prudent leverage enhances financial stability and provides flexibility for future investments and growth.
Cash Flow Management
Effective cash flow management ensures the company can fund operations, invest in growth opportunities, and return capital to shareholders.
Profitability
Strong profitability metrics indicate efficient operations and pricing power, supporting long-term financial health and shareholder value.
Negative Factors
Revenue Growth Decline
A decline in revenue growth could signal challenges in market expansion or product demand, potentially impacting future earnings.
Volatile Cash Generation
Volatility in cash generation relative to earnings may affect the company's ability to maintain stable operations and fund strategic initiatives.
Earnings Decline
A decline in earnings per share growth can indicate operational challenges or increased costs, affecting investor confidence and valuation.

Atlas Copco AB (ATCO.A) vs. iShares MSCI Sweden ETF (EWD)

Atlas Copco AB Business Overview & Revenue Model

Company DescriptionAtlas Copco AB, together with its subsidiaries, provides productivity solutions. The company operates through Compressor Technique, Vacuum Technique, Industrial Technique, and Power Technique segments. It offers piston compressors, oil-free tooth and scroll compressors, rotary screw compressors, oil-free blowers, oil-free centrifugal compressors, gas and process compressors, air and gas treatment equipment, and medical air solutions primarily for use in the manufacturing and process industries. The company also provides oil-sealed rotary vane, dry, and liquid ring vacuum pumps; and turbomolecular and cryogenic pumps, as well as abatement and integrated systems for the semiconductor and scientific, chemical process, food packaging, and paper handling industries. In addition, it offers pneumatic, hydraulic, and electric assembly tools, as well as control systems and associated software for safety-critical tightening; self-pierce riveting tools, dispensing equipment for adhesives and sealants, and flow drill fastening equipment; material removal tools, drills, and other pneumatic products; and machine vision solutions for customers in the automotive and general industries. Further, the company provides portable compressors, boosters, generators, lighting towers, pumps, and construction and demolition tools for civil engineering, oil and gas, construction, manufacturing, exploration drilling, and demolition industries, as well as specialty rental services. It operates in North America, South America, Europe, Africa, the Middle East, Asia, and Oceania. The company was founded in 1873 and is headquartered in Nacka, Sweden.
How the Company Makes MoneyAtlas Copco generates revenue primarily through the sale of its diverse range of products and services. The company operates through several key segments: Compressor Technique, Vacuum Technique, Industrial Technique, and Power Technique. Each segment contributes to revenue through the sale of equipment, aftermarket services, and spare parts. The aftermarket services, including maintenance and repair, represent a significant and recurring revenue stream. Additionally, strategic partnerships with other companies and industries enhance Atlas Copco's market reach and contribute to its earnings. The company also focuses on innovation, investing in research and development to create advanced, energy-efficient solutions that meet the evolving needs of its customers, thus driving sales and enhancing profitability.

Atlas Copco AB Financial Statement Overview

Summary
Atlas Copco AB presents a solid financial position with strong profitability, a stable balance sheet, and effective cash flow management. While recent revenue growth has slowed, the company's margins and return metrics remain strong, supporting its financial health and operational efficiency.
Income Statement
Atlas Copco AB shows strong profitability with consistent gross profit margins around 43% and net profit margins above 16% over the years. However, the recent TTM data indicates a slight decline in revenue growth, which could be a concern if it continues. The EBIT and EBITDA margins remain robust, reflecting efficient operational management.
Balance Sheet
The company maintains a healthy balance sheet with a manageable debt-to-equity ratio around 0.35, indicating prudent leverage. Return on Equity is strong, consistently above 26%, showcasing effective use of equity to generate profits. The equity ratio is stable, suggesting a solid capital structure.
Cash Flow
Atlas Copco AB demonstrates strong cash flow management with positive free cash flow growth and a high free cash flow to net income ratio. However, the operating cash flow to net income ratio has shown some volatility, which could indicate potential fluctuations in cash generation relative to earnings.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue171.55B176.77B172.66B141.32B110.91B99.79B
Gross Profit73.30B75.74B75.12B59.38B46.54B41.18B
EBITDA44.78B46.40B44.17B36.07B28.61B23.91B
Net Income27.59B29.78B28.04B23.48B18.13B14.78B
Balance Sheet
Total Assets207.53B208.54B182.68B172.30B136.68B113.37B
Cash, Cash Equivalents and Short-Term Investments26.50B19.33B11.22B11.85B19.58B11.65B
Total Debt35.39B34.71B32.71B36.30B24.85B24.63B
Total Liabilities100.84B94.78B91.18B92.28B69.05B59.83B
Stockholders Equity106.52B113.70B91.45B79.98B67.63B53.22B
Cash Flow
Free Cash Flow30.64B30.86B22.63B16.35B19.79B19.41B
Operating Cash Flow36.42B36.89B28.08B21.38B23.15B22.20B
Investing Cash Flow-12.35B-13.32B-9.39B-15.50B-6.12B-16.29B
Financing Cash Flow-15.75B-15.86B-18.28B-14.65B-10.32B-8.55B

Atlas Copco AB Technical Analysis

Technical Analysis Sentiment
Positive
Last Price176.10
Price Trends
50DMA
162.27
Positive
100DMA
159.71
Positive
200DMA
156.28
Positive
Market Momentum
MACD
3.30
Negative
RSI
67.76
Neutral
STOCH
73.59
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:ATCO.A, the sentiment is Positive. The current price of 176.1 is above the 20-day moving average (MA) of 167.27, above the 50-day MA of 162.27, and above the 200-day MA of 156.28, indicating a bullish trend. The MACD of 3.30 indicates Negative momentum. The RSI at 67.76 is Neutral, neither overbought nor oversold. The STOCH value of 73.59 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SE:ATCO.A.

Atlas Copco AB Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
73
Outperform
kr88.01B23.959.56%1.95%2.73%7.56%
72
Outperform
kr75.40B29.9911.04%0.95%9.08%-3.36%
71
Outperform
kr44.77B23.6326.95%1.71%14.48%0.52%
71
Outperform
kr200.30B23.7120.42%1.84%3.54%20.94%
70
Outperform
kr397.26B26.3716.39%1.94%-1.77%21.13%
67
Neutral
kr843.27B31.0826.43%1.82%-2.38%-4.00%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
SE:ATCO.A
Atlas Copco AB
176.10
3.83
2.23%
SE:ALFA
Alfa Laval AB
478.40
23.35
5.13%
SE:MYCR
Mycronic AB
211.00
15.46
7.91%
SE:SAND
Sandvik AB
310.90
112.99
57.09%
SE:TREL.B
Trelleborg AB
384.40
4.33
1.14%
SE:BEIJ.B
Beijer Ref AB Class B
144.95
-4.60
-3.07%

Atlas Copco AB Corporate Events

Atlas Copco AB Secures New Credit Rating Agreement with Moody’s
Dec 11, 2025

Atlas Copco AB has entered into a new credit rating agreement with Moody’s Investor Services, replacing Standard & Poor’s as one of its rating agencies alongside Fitch. This agreement ensures that Atlas Copco’s capital market issuance will continue to be rated by two agencies, with Moody’s assigning a long-term issuer default rating of A1 with a stable outlook, while Fitch maintains an A+ rating with a stable outlook. This move is significant for the company’s financial stability and creditworthiness, impacting its ability to secure loans and manage debt effectively.

The most recent analyst rating on ($SE:ATCO.A) stock is a Buy with a SEK162.00 price target. To see the full list of analyst forecasts on Atlas Copco AB stock, see the SE:ATCO.A Stock Forecast page.

Atlas Copco Expands in Brazil with Centroar Acquisition
Dec 8, 2025

Atlas Copco AB has announced the acquisition of Centro do Ar Comprimido do Recife Ltda, a compressor distributor based in Recife, Brazil. This strategic acquisition, expected to be finalized in the first quarter of 2026, aims to enhance Atlas Copco’s market presence and strengthen direct customer relations in Brazil’s Northeast region, integrating Centroar into its service division within the Compressor Technique Business Area.

The most recent analyst rating on ($SE:ATCO.A) stock is a Buy with a SEK178.00 price target. To see the full list of analyst forecasts on Atlas Copco AB stock, see the SE:ATCO.A Stock Forecast page.

Atlas Copco Highlights Strategic Developments at Capital Markets Day
Nov 26, 2025

Atlas Copco Group hosted its capital markets day in Germany to discuss its strategic direction and developments, particularly in the Vacuum Technique and Industrial Technique business areas. The event included presentations by key executives and an innovation tour showcasing the company’s latest technological advancements, emphasizing its commitment to maintaining current customer activity levels.

The most recent analyst rating on ($SE:ATCO.A) stock is a Hold with a SEK174.00 price target. To see the full list of analyst forecasts on Atlas Copco AB stock, see the SE:ATCO.A Stock Forecast page.

Atlas Copco Expands UK Presence with Anglian Acquisition
Nov 10, 2025

Atlas Copco Group has acquired Anglian Compressors and Equipment Limited, a British compressed air distributor based in Cambridgeshire, UK. This acquisition strengthens Atlas Copco’s sales and service presence in the East of England, potentially opening new opportunities for growth within the Compressor Technique business area. The integration of Anglian into Atlas Copco’s service division is expected to enhance the company’s market positioning and service capabilities in the region.

The most recent analyst rating on ($SE:ATCO.A) stock is a Hold with a SEK174.00 price target. To see the full list of analyst forecasts on Atlas Copco AB stock, see the SE:ATCO.A Stock Forecast page.

Atlas Copco Acquires Engineering Automation Systems to Enhance CPQ Solutions
Nov 5, 2025

Atlas Copco Group has acquired Engineering Automation Systems GmbH (EAS), a German company specializing in software for engineering and automation of CPQ solutions. This acquisition, which integrates EAS into the Gas and Process Division within the Compressor Technique Business Area, aims to enhance Atlas Copco’s project quoting processes, benefiting both current and future customers. EAS’s expertise in CPQ solutions is expected to improve speed, accuracy, and efficiency in generating proposals and managing sales processes across various industry segments.

The most recent analyst rating on ($SE:ATCO.A) stock is a Hold with a SEK174.00 price target. To see the full list of analyst forecasts on Atlas Copco AB stock, see the SE:ATCO.A Stock Forecast page.

Atlas Copco Expands with Acquisition of Brazilian Filtration Firm
Nov 4, 2025

Atlas Copco Group has acquired MKG Equipamentos Ltda., a Brazilian company specializing in industrial process filtration solutions, to enhance its portfolio and regional presence. This strategic acquisition, integrating MKG into the Medical Gas Solutions division, is expected to bolster Atlas Copco’s offerings in the pharmaceutical, food & beverage, and energy sectors, although the purchase price remains undisclosed.

The most recent analyst rating on ($SE:ATCO.A) stock is a Hold with a SEK174.00 price target. To see the full list of analyst forecasts on Atlas Copco AB stock, see the SE:ATCO.A Stock Forecast page.

Atlas Copco Reports Stable Q3 2025 Amid Mixed Demand
Oct 23, 2025

In its third-quarter report for 2025, Atlas Copco AB reported mixed demand with stable order intake and strong cash flow. The company experienced a slight decrease in revenues and operating profit compared to the previous year, with a notable decline in demand from the semiconductor and automotive industries. Despite these challenges, the company maintained stable order volumes in industrial compressors and achieved growth in power equipment orders. The overall demand for service continued to grow across all regions, with notable increases in the Americas and Europe.

The most recent analyst rating on ($SE:ATCO.A) stock is a Buy with a SEK200.00 price target. To see the full list of analyst forecasts on Atlas Copco AB stock, see the SE:ATCO.A Stock Forecast page.

Atlas Copco Reports Stable Q3 Performance Amid Mixed Regional Demand
Oct 23, 2025

Atlas Copco AB reported stable overall order intake and strong cash flow for the third quarter of 2025, with increased demand in the Americas and Europe, unchanged in Asia, and a decrease in Africa/Middle East. Despite a 3% decrease in revenues, the company maintained a strong operating profit margin and emphasized leveraging its decentralized business model to focus on customer needs. The company anticipates customer activity to remain stable in the near term.

The most recent analyst rating on ($SE:ATCO.A) stock is a Buy with a SEK200.00 price target. To see the full list of analyst forecasts on Atlas Copco AB stock, see the SE:ATCO.A Stock Forecast page.

Atlas Copco Expands UK Operations with Acquisition of Northern Compressed Air
Oct 14, 2025

Atlas Copco Group has expanded its operations in the UK by acquiring Northern Compressed Air Ltd., a company specializing in the sales, installation, and service of compressed air systems. This acquisition, which adds 15 employees to Atlas Copco, aims to enhance the company’s service capabilities in Yorkshire and the north of England, strengthening its position in the regional market.

The most recent analyst rating on ($SE:ATCO.A) stock is a Buy with a SEK200.00 price target. To see the full list of analyst forecasts on Atlas Copco AB stock, see the SE:ATCO.A Stock Forecast page.

Atlas Copco to Announce Q3 2025 Results and Host Conference Call
Oct 9, 2025

Atlas Copco Group announced it will release its Q3 2025 financial results on October 23, followed by a conference call with investors, analysts, and media. The call will include a presentation by the company’s President and CEO, Vagner Rego, and CFO, Peter Kinnart, and will provide insights into the company’s financial performance and strategic direction.

The most recent analyst rating on ($SE:ATCO.A) stock is a Buy with a SEK175.00 price target. To see the full list of analyst forecasts on Atlas Copco AB stock, see the SE:ATCO.A Stock Forecast page.

Atlas Copco Expands US Market Presence with RM Boggs Acquisition
Oct 8, 2025

Atlas Copco Group has expanded its presence in the US by acquiring the compressor business of RM Boggs Inc., an Iowa-based distributor serving the general and agricultural industries. This acquisition, which includes the integration of RM Boggs’ three employees into Atlas Copco’s Compressor Technique Business Area, aims to enhance market presence and strengthen direct customer relations in the region.

The most recent analyst rating on ($SE:ATCO.A) stock is a Buy with a SEK175.00 price target. To see the full list of analyst forecasts on Atlas Copco AB stock, see the SE:ATCO.A Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Nov 27, 2025