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Alcadon: Starting deliveries “this summer” is key focus - SEB

Alcadon Group, a leading distributor of network equipment and fibre solutions in the premium segment of the market, is well-positioned to capitalise on the rollout of 5G (edge, Industry 4.0), as corroborated by it landing frame agreements totalling almost SEK 900m for the coming three years. Until price changes feed through the P&L, we expect cost inflation to mute margins in the shorter term. We reiterate our mid-point DCF of SEK 115.

Alcadon Group, a leading distributor of network equipment and fibre solutions in the premium segment of the market, is well-positioned to capitalise on the rollout of 5G (edge, Industry 4.0), as corroborated by it landing frame agreements totalling almost SEK 900m for the coming three years. Until price changes feed through the P&L, we expect cost inflation to mute margins in the shorter term. We reiterate our mid-point DCF of SEK 115.
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