Kepler ups Tele2 to 'buy' on 'attractive entry point'

Tele2 AB (publ)

08/07/2026 12:11

** Kepler Cheuvreux upgrades Swedish telecoms operator Tele2 TEL2b.ST to "buy" from "hold," saying that a recent share price drop created an "attractive entry point" for investors

     ** 
    Including today's rise Tele2 
    stock has gained 7.4% year-to-date but has lost 16% since its peak in April
  
** The broker views the firm as a "defensive, cash-generative operator with an appealing financial profile" that converts low revenue increases into solid core earnings growth
** Kepler adds the company is the clearest listed beneficiary of a potential Swedish market consolidation given the country represents around 80% of its valuation
** If mergers and acquisitions do not materialise, Tele2 could return excess balance-sheet capacity to shareholders through extraordinary dividends of up to SEK 10 per share, it says
** The brokerage keeps its PT unchanged at SEK 195 and notes that the recent CEO transition should limit risks and support strategic continuity for the business
** Out of 20 analysts who cover the stock, seven rate it "strong buy" or "buy", ten rate "hold", and three rate it "sell" or "strong sell", according to LSEG data
     

(Reporting by Marta Frackowiak)
((marta.frackowiak@thomsonreuters.com))