Still on guard – reinstate at Neutral

Research evidence excerpt

Still on guard – reinstate at Neutral

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Securitas AB

Reinstating Coverage: NEUTRAL | PO: 169.00 SEK | Price: 165.10 SEK

Ambitious mid-term targets despite recent progress 20 July 2026

We reinstate coverage of Securitas at Neutral with a PO of SEK169. While like Securitas’

mix shift towards Technology over the last 5y and the AI-integrated business model, we Equity

see limited room for either material organic growth acceleration or margin expansion

Virginia Montorsi >>

now that most of the self-help measures are complete. Research Analyst

MLI (UK)

AI: a tool but also a threat? 44virginia.montorsi@bofa.com20 7996 2921

We believe Securitas is benefitting from AI-led systems integration when it comes to its Tim Ramskill, CFA >>

own operational efficiency (e.g. c93% alarms automatically handed) & client offering. Research Analyst MLI (UK)

However, the lack of clarity over a specific monetisation strategy, combined with +44 20 7996 3050

deflationary pressures concerns, is and will be a focus for investors in our view. tim.ramskill@bofa.com

Limited room for topline acceleration

While we recognise SECUB’s efforts to shift mix towards Tech and Risk Mgmt, Security Stock Data

Services still accounts for c64% of revs & is exposed to a mature, competitive guarding

Price 165.10 SEK

market. We see SECUB’s organic growth peaking in FY28E at 3.6% to then moderate

Price Objective 169.00 SEK

afterwards, which does not support Securitas’ own 10% EPS CAGR guide in our view.

Date Established 20-Jul-2026

Margin expansion ahead but below mid-term targets Investment Opinion B-2-7

We expect margins to continue to improve, supported by mix shift towards Tech & 52-Week Range 136.00 SEK-172.00 SEK

Solutions, active portfolio mgmt.