Balco’s Q2 report showed a clear pick-up in order intake, although sales and earnings are still below normal levels. Even though we believe Q2 orders were slightly boosted by pent-up demand from previous quarters, the outlook for H2 order intake is strong and hence we expect operations to return to organic growth in 2022-23. Given estimate hikes (2-6%), our fair valuation mid-point is raised to SEK 122 (previously SEK 112).
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