Saab exceeds expectations: sales forecast for 2025 increased rapidly!

Saab exceeds expectations: sales forecast for 2025 increased rapidly!

The Swedish company Saab is on a strong growth path and recently raised its forecast for 2025. How Morningstar reports, Saab recorded impressive organic growth of 21% in the first nine months of the year. This is mainly supported by robust demand in the defense sector, with the order backlog being significantly high at SEK 202 billion.

A key point is the increase in organic sales growth for 2025 to 20-24%, after the previous forecast was between 16-20%. Saab's CEO emphasizes that demand for technology and products in the defense sector remains strong and a dramatic increase in production of the Gripen fighter jet is possible if necessary. The company also plans to expand capacity in various areas by 2026, including plants in Karlskoga, the US and India.

Fester's stand at the market

The market reaction shows that Saab is very popular with investors. On Nasdaq Stockholm, the stock closed at SEK 522.20 on October 27, although there was a decline of 2.32% in the last five days. Loud Market Screener Analysts have raised the price target for Saab since the positive quarterly reports. Pareto Securities sees the fair value at 565 crowns, while Barclays sets a target of 420 crowns.

Saab's sales distribution is artfully tailored across different product families, ranging from electronic defense systems to aviation systems to marine systems. This shows that diversification in the product range is an essential part of the company's strategy. A further look at geography reveals that the Swedish (41%) and European (24.8%) markets are of utmost importance to Saab.

A look into the future

The defense market in general shows according to Business Research Insights promising growth forecasts. The global market value is estimated at USD 2619.58 billion in 2025, with an annual growth rate of 5% until 2035. This indicates a continued need for modern and integrated defense technologies, which will also boost the European market.

Europe's armament and investment in autonomous defense innovations further strengthen the position of companies like Saab. The magnetism of European demand and evolving technologies is a recipe for future success. It remains to be seen how the geopolitical circumstances will develop and what influence these will have on the strategic decisions of Saab and similar companies.

With a clear focus on growth and innovation, Saab has set the right course to remain a leading player in the defense sector in the coming years.