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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
â–²(4.66% Upside)
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 is a Swedish multinational company that specializes in industrial tools and equipment. Founded in 1873, the company operates in various sectors including compressors, vacuum solutions, generators, construction and mining equipment, and industrial tools. Atlas Copco is known for its innovative technology and sustainable solutions, offering products that enhance productivity and energy efficiency across multiple industries, including manufacturing, construction, and mining.
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
75
Positive
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
80
Positive
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
70
Positive
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 Price166.25
Price Trends
50DMA
161.94
Positive
100DMA
156.98
Positive
200DMA
156.82
Positive
Market Momentum
MACD
2.29
Negative
RSI
60.55
Neutral
STOCH
61.45
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 166.25 is above the 20-day moving average (MA) of 160.17, above the 50-day MA of 161.94, and above the 200-day MA of 156.82, indicating a bullish trend. The MACD of 2.29 indicates Negative momentum. The RSI at 60.55 is Neutral, neither overbought nor oversold. The STOCH value of 61.45 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
kr87.02B24.529.56%1.91%2.73%7.56%
72
Outperform
kr78.90B32.1811.04%0.90%9.08%-3.36%
71
Outperform
kr42.83B24.4926.95%1.71%14.48%0.52%
71
Outperform
kr190.42B22.8320.42%1.85%3.54%20.94%
70
Outperform
kr365.15B24.6916.39%1.98%-1.77%21.13%
67
Neutral
kr783.94B29.3426.43%1.80%-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
166.25
-7.59
-4.36%
SE:ALFA
Alfa Laval AB
460.70
0.37
0.08%
SE:MYCR
Mycronic AB
218.70
19.04
9.54%
SE:SAND
Sandvik AB
291.10
92.02
46.22%
SE:TREL.B
Trelleborg AB
393.60
11.38
2.98%
SE:BEIJ.B
Beijer Ref AB Class B
155.55
-12.97
-7.70%

Atlas Copco AB Corporate Events

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.

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.

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.

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.

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.

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.

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.

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.

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.

Atlas Copco Expands with Acquisition of Italian Pump Manufacturer CRI-MAN
Oct 2, 2025

Atlas Copco Group has completed the acquisition of CRI-MAN S.p.A., an Italian manufacturer of chopper pumps, separators, and mixers for the biogas and wastewater industries. This acquisition, which adds 85 employees to Atlas Copco, will enhance the company’s Industrial Flow division within the Power Technique Business Area, potentially strengthening its market position in the biogas and wastewater sectors.

Atlas Copco Finalizes Acquisition of US Specialty Rental Firm
Oct 2, 2025

Atlas Copco Group has completed the acquisition of National Tank & Equipment, LLC (NTE), a specialty rental company based in Houston, Texas, with 349 employees. NTE provides fluid transfer and storage solutions, serving sectors such as energy, infrastructure construction, and mining. This acquisition enhances Atlas Copco’s Specialty Rental division within its Power Technique Business Area, potentially strengthening its market position in the US rental services industry.

Atlas Copco Acquires SUTO iTEC to Enhance Compressed Air Solutions
Oct 1, 2025

Atlas Copco Group has acquired SUTO iTEC, a company specializing in compressed air and gas measurement solutions, enhancing its service division within the Compressor Technique Business Area. This acquisition is expected to optimize air quality and improve energy efficiencies for Atlas Copco’s customers, strengthening its position in industries like manufacturing, food and beverage, automotive, pharma, and electronics.

Atlas Copco Announces 2026 Financial Reporting Schedule
Sep 18, 2025

Atlas Copco AB has announced its financial reporting schedule for 2026 and early 2027, detailing the release dates for quarterly results and the preliminary annual report. These announcements are crucial for stakeholders as they provide insights into the company’s financial performance and strategic direction.

Atlas Copco Announces Nomination Committee for 2026 AGM
Sep 16, 2025

Atlas Copco AB has announced the formation of its nomination committee for the Annual General Meeting 2026, which includes representatives from major shareholders and the Chair of the Board. This development is part of the company’s governance process, ensuring stakeholder engagement and transparency in decision-making ahead of the meeting scheduled for April 28, 2026.

Atlas Copco Expands Italian Market Presence with Acquisition
Sep 8, 2025

Atlas Copco Group has expanded its service capabilities in Italy by acquiring Casa dei Compressori S.r.l., a compressed air distributor based near Milan. This strategic acquisition enhances Atlas Copco’s presence in the Lombardy region, particularly in Milan, and integrates the acquired business into its Compressor Technique business area, strengthening its market position in the region.

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