AB SKF (publ) Price & Performance (SKFRY)

DNB has lowered its target price for AB SKF to SEK 225 from SEK 270, reflecting recent market conditions, but reiterated its Buy recommendation. The move comes amid ongoing challenges in the bearings and seals sector, with SKF's net sales split between industrial and automotive markets. Analysts remain optimistic about long-term prospects despite near-term headwinds.12

AB SKF shares surged nearly 4% on April 23, continuing a two-week upward trend. However, technical analysis suggests the stock could decline more than 20% over the next three months if current patterns persist. While short-term buy signals exist, broader indicators point to elevated risk and potential volatility ahead.34

Barclays has downgraded AB SKF from Overweight to Equal Weight, citing sector challenges and uncertain demand. This shift follows a period of underperformance compared to both the Swedish machinery sector and the broader market, increasing scrutiny on SKF’s strategy as it approaches upcoming earnings announcements.14