The defense group Saab has significantly increased its order intake in recent years. In the last two months alone, the company has secured orders worth almost SEK 60 billion, writes Dagens Industri. The increased pressure on the defense group's products is also putting pressure on the company's production capacity.
Continuous investments and trade-offs are required to meet the demand that is expected, says Pareto's analyst Tom Guinchard, emphasizing that the company must invest further in personnel and expertise.
The US can stop
Both Handelsbanken and Pareto's analysts say that one of Saab's biggest challenges will be securing the subcontractors and ensuring that they get all the products required to build the fighter jets.
It depends on so many subcontractors and not least an American engine, says Daniel Djurberg.
Pareto analyst Tom Guinchard says that Sweden and the US already have export agreements for American engines. However, the US may have the opportunity to stop several related products produced in the country.
It's the same for Brazil, which chose to use a different configuration of support systems, says Tom Guinchard.
Opens doors
The major bank SEB writes in an analysis that the deal increases the value of Saab's share by 3 kronor per share. At the same time, the share is rushing over 30 kronor per share on Monday compared to Friday's closing price.
The stock is moving because of this because it reduces the risk surrounding this deal, which has been in the works for a long time, and thus contributes to the already strong momentum, says Daniel Djurberg.
Pareto analyst Tom Guinchard believes that the deal is mainly important for Saab's long-term relationships in the export market.
Historically, it has been Sweden and Brazil that have been customers, he says, adding:
Now we see another strategically important order coming in so it will change the possibilities for further capacity changes in the future as well.
