Tomppa is pre-gaming because Componenta is reporting its results on Friday, May 8th.
We expect revenue to have continued its growth supported by a strong order book. We estimate that profitability improved from the comparison period, although we believe high electricity prices slightly weighed on margins at the beginning of the year. In the report, our focus will be on how the company views potential changes in the demand outlook for the current financial year following an eventful Q1â26 in terms of the business environment.
I just hope we donât see a repeat of what happened with Kesla soon, where some NATO country announces interest in shell casings; if that happens, youâd better hold on to your hat.
Here are Tommiâs comments on the recent Q1 results
Componenta published a stronger-than-expected Q1 report this morning. Double-digit revenue growth fell slightly short of our forecast, but earnings performance surprised clearly on the positive side, driven by volumes and productivity improvements. The order book, which grew more strongly than we expected, also bodes for a strong Q2â26 period, meaning that the clear earnings beat in Q1 creates upward pressure on our short-term earnings forecasts. We estimate that the report exceeded market expectations and that the share price opening will be positive today.
Componentaâs Q1 report exceeded our forecasts thanks to excellent profitability and a better-than-expected order backlog. The strong profitability increased our confidence in the scalability of volume growth to the bottom line, and we significantly raised our earnings forecasts for the 2026 financial year, and more moderately for 2027â2028. Based on our updated forecasts, valuation multiples are at moderate levels, and the long order pipelines in the Defense and Energy industries support continued earnings growth in the longer term, which in our view makes the stockâs risk-reward ratio attractive. We raise our target price to EUR 5.50 (prev. EUR 5.00) and reiterate our Accumulate recommendation.
