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MTRS Munters AB News Story

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UBS starts Munters with 'buy' on data centre 'secular growth story'

BUZZ-UBS starts Munters with 'buy' on data centre 'secular growth story'

** UBS initiates coverage of Swedish climate control systems maker Munters Group MTRS.ST with a "buy" rating as its data centre cooling market exposure drives secular growth

** The broker calls the firm a "high-quality secular growth story" and expects its data centre technologies revenue to double by 2028 on strong order momentum

** The brokerage expects a 400 basis point margin expansion over 2026-2028 driven by easing tariff headwinds, operating leverage and the reversal of dual-site costs

** UBS sees a modest pick-up in organic order growth for the AirTech division over coming quarters supported by a quantitative analysis of capital expenditure

** It sets a PT of SEK 245/shr as the stock trades at an attractive discount relative to peers given its superior growth profile and margin expansion potential

** Out of eight brokers that cover the stock, six rate it "strong buy" or "buy", and two rate "hold", according to LSEG data



(Reporting by Marta Frackowiak)

((marta.frackowiak@thomsonreuters.com))

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