Volvo B "2H26 delivery story en route, reiterate Buy" (Buy) Bhundia

研报英文原文证据摘录

Volvo B "2H26 delivery story en route, reiterate Buy" (Buy) Bhundia

Global Research

20 July 2026ab

Volvo B Equities

Sweden2H26 delivery story en route, reiterate Buy

Land Transportation Equipment

12-month rating Buy

Truck investment thesis in play, with cost headwinds being addressed

We see increasing evidence of our European truck upcycle thesis gathering momentum 12m price target SKr395.00

and believe Volvo is well positioned to capitalise on this. Stronger European truck orders

should benefit Volvo from a margin mix perspective and Volvo already stepped up

Price (17 Jul 2026) SKr339.10

European truck production capacity in spring last year, limiting the possibility of ramp-up

constraints, in our view. Volvo's new and more fuel efficient truck engine is due to begin RIC: VOLVb.ST BBG: VOLVB SS

taking orders in 3Q26, which could provide an additional boost to truck orders. On EPA,

Trading data and key metrics

Volvo said it would offer the preferred engine solution to customers, but is capable of

52-wk range SKr353.20-247.40

adapting. Volvo has increased its NA HDT market share to 17% from 15% last year and

we expect a successful NA ramp-up to maintain this level. We see the Mexico plant Market cap. SKr687b/US$71.2b

providing upside in 2027E, with a gradual ramp-up expected during the latter part of Shares o/s 1,385m (BFREE)

this year. We reiterate our preference for exposure to the European truck upcycle as Free float 100%

EPA27 awaits finalisation, with Volvo remaining our top Truck OEM pick. Avg. daily volume ('000) 3,017

Avg. daily value (m) SKr975.7

We see more reasons to be optimistic about 2H26 rather than concerned Common s/h equity (12/26E) SKr201b

While we acknowledge feedback surrounding the quality of the Q2 adj. op margin beat, P/BV (12/26E) 3.4x