ABG Sundal Collier’s Latest Moves: A Closer Look at Its Market‑Making Activities and Recent Analyst Upgrades

ABG Sundal Collier Holding ASA, the Norwegian‑based capital‑markets group, has been active in the Stockholm market today, primarily through its research division’s latest upgrades of two technology stocks. The firm’s own trading and investment‑banking business continues to anchor its revenue, but its equity‑research arm is now drawing attention for its bullish stance on Mycronic AB and its assessment of the market environment for defence‑sector plays.

1. Mycronic – From “Hold” to “Buy”

At 07:29 CET, ABG’s research team upgraded its recommendation for Mycronic AB from hold to buy. The upgrade came with a reiterated target price of 225 kr per share, a level that had been maintained in prior commentary. The company’s share price closed at 196 kr on Friday, implying a potential upside of roughly 15 % if the target materialises.

The rationale behind the upgrade was two‑fold:

  1. Fundamental Strength – ABG cited Mycronic’s robust earnings outlook and favourable cash‑flow generation as evidence that the company is on a solid growth trajectory.
  2. Valuation Appeal – The recent decline in Mycronic’s share price created a “more attractive valuation” window, according to ABG’s analysts. This suggests that the stock may be undervalued relative to its earnings potential and sector peers.

In line with this assessment, ABG’s own trading desk has expressed confidence that the stock’s upside potential aligns with its broader view of the Swedish technology sector. The upgrade is expected to influence market sentiment, as ABG’s research is closely watched by institutional investors and portfolio managers.

2. Broader Market Context

The same day, the Stockholm market opened near the OMXS30 benchmark, which saw a marginal decline of 0.10 % to 2 704,76. While the broader index remained largely flat, sectoral movements were notable:

  • Defence and Security – A narrative emerged that a potential pause or easing in geopolitical tensions between Russia and Ukraine could dampen “thematic inflows” into European defence stocks. This was highlighted by ABG’s commentary on sectormatic buying, suggesting that the defence sector might experience a reduction in purchase pressure if diplomatic talks progress.
  • Tech and Semiconductor Exposure – ABG also noted that its increased coverage of Mycronic represented a “rare exposure” to the semiconductor space, which is often overlooked by traditional capital‑market research houses.

These sectoral signals provide context for the company’s own research focus. By shifting its recommendation on Mycronic, ABG demonstrates a willingness to capitalize on emerging opportunities in the technology and defence landscapes.

3. ABG’s Own Business Snapshot

Although the day’s headlines centred on research upgrades, it is useful to recall the fundamentals underpinning ABG’s broader operations:

  • Market Presence – ABG serves the Nordic region (Norway, Sweden, Denmark) and international markets, delivering services across its two main segments: Markets (broking, trading, execution of equities, bonds, derivatives, structured products, and FX) and Investment Banking (corporate advisory, ECM, DCM, M&A, and restructuring).
  • Financial Position – As of the latest close on 09 Oct 2025, the company traded at 6.91 NOK with a 52‑week high of 7.45 NOK and a low of 6.35 NOK. The market capitalization stood at 3.65 bn NOK, and the price‑to‑earnings ratio was 12.95.
  • Revenue Drivers – The firm’s core services continue to generate stable income streams, while its research division’s insights (such as the Mycronic upgrade) add value for clients and enhance the firm’s reputation as a thought leader in capital markets.

4. Implications for Investors

For investors tracking ABG’s own equity, the day’s developments signal that the firm is actively managing its research pipeline to uncover value in the technology and defence sectors. The upgrade to Mycronic could attract institutional inflows, potentially boosting ABG’s own share price if the market adopts the consensus view. Meanwhile, the broader market environment suggests that sectormatic flows may ebb in defence stocks, presenting a window for opportunistic buying.

In summary, ABG Sundal Collier’s recent research moves highlight the firm’s strategic positioning in a dynamic market landscape. By elevating its recommendation for Mycronic and underscoring the value of defence‑sector exposure, ABG demonstrates its capacity to blend robust research with actionable investment insights, reinforcing its standing as a key player in the Nordic capital‑markets arena.