Arcadis: The best defense is offense

Research evidence excerpt

Arcadis: The best defense is offense

31 July 2026

Derric Marcon

+33 1 58 98 06 30

European Technology/Software derric.marcon@bernsteinsg.com

Richard NguyenArcadis

+33 1 42 13 54 22

Rating richard.nguyen@bernsteinsg.com

Outperform Specialist Sales

Kiran Shah, CFA

Price Target +44 20 3547 1533

kiran.shah@bernsteinsg.com

ARCAD.NA 49.00 EUR (48.00 OLD)

Arcadis' 1H26 results, released Thursday before market open, was the opportunity for the

Close Date 30 Jul 2026

group to demonstrate that the turnaround in its operational performance remains on track

ARCAD.NA Close Price (EUR) 39.90

(with a clear beat on OSG and a high level of bookings), and that its ambitions for 2027-2029

Price Target (EUR) 49.00

are high (or at least higher than both the consensus and we ourselves had anticipated). OSG

Upside/(Downside) 23%

accelerated to +2.2% (Bernstein/company-compiled consensus pre-1H26 +0.5%/+0.6%).

52-Week Range 51.25/25.88

Order intake also accelerated, rising by +13.5% organically and bringing the order backlog

EDME 1,613.47

to a record €4.0bn. Discerning observers might point out that the strong revenue momentum

FYE Dec

has not translated into a positive surprise on margins. While this argument is not without

Div Yield 2.6%

merit, it should be put into perspective, as the impact of measures implemented over the past

Market Cap (EUR) (M) 3,609

nine months should be far more evident in 2H26. Furthermore, the group is committed to

EV (EUR) (M) 4,715

investing to accelerate its repositioning, rather than simply milking the cash cow for all it is

worth. Initial results from measures taken to improve the company's performance, combined Performance YTD 1M 6M 12M

with sustained customer demand, have led management to raise its organic growth target Absolute (%) 12.3 18.7 5.5 (5.1)