Sika (AO) | Buy | Consistent market share gains, Fast Forward to drive margins in 2026

研报英文原文证据摘录

Sika (AO) | Buy | Consistent market share gains, Fast Forward to drive margins in 2026

ed to the integration of MBCC and cost savings from the company’s Fast Forward programme.

The company has taken actions to accelerate profitable growth in 2026 by signing to acquisitions in mortars (Finja) and adhesives

and sealants (Akkim) and by making demand-driven investments in five new plants. Sika is also accelerating its efficiency

programmes through Fast Forward and is investing in digital leadership to drive further market share gains.

What’s new?

The industrial and automotive environments are quite challenged, impacted by rising inflation and deteriorating consumer

sentiment. Sika is outperforming both its industrial and automotive markets.

The company has been an early mover in the data centre industry, providing several innovations to its customers. Data centres

now account for a mid-single digit percentage of Sika's group sales (double-digit in the US).

The price expectations by M&A targets have come down over the past few years. Sika has very clear metrics in place for its M&A

transactions, for which it has a strong track record.

Our investment view

Although forward visibility remains limited given the current state of geopolitics, we are encouraged by Sika’s comments on its

proactive counter measures to deal with surging input prices. Assuming a waning impact of the conflict in the Middle East in the

foreseeable future, and given the shares’ undemanding valuation, we remain buyers of the name.

We expect the material margin in 2026 to be hit by a mathematically dilutive effect from cost and price inflation, similar to Sika’s

situation in 2022. Nonetheless, we would expect this cosmetic shortfall to be resolved in 2027.