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1. Company Snapshot

1.a. Company Description

Sectra AB (publ) provides solutions for medical IT and cybersecurity sectors in Sweden, the United Kingdom, the Netherlands, and rest of Europe.The company operates through Imaging IT Solutions, Secure Communications, and Business Innovation segments.The Imaging IT Solutions segment develops and sells medical IT systems and services for managing, archiving, and presenting various types of medical images and patient information, as well as for operational follow-up and radiation dose monitoring; maintenance services in the form of support and system monitoring; and consulting services related to integration, system design, data migration, and business development.


The Secure Communications segment develops and sells products and services for secure voice and data communications, and protection of society's sensitive IT infrastructure; and project-based development, as well as offers security and threat analyses and system monitoring services for control systems in society's critical operations.The Business Innovation segment develops and sells IT systems for planning and monitoring orthopedic surgery; and products for medical education and research projects.It serves public and private healthcare providers comprising hospitals, and hospital and private clinic chains; and government agencies, defense departments, energy companies.


Sectra AB (publ) was incorporated in 1957 and is headquartered in Linköping, Sweden.

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1.b. Last Insights on SECT

Recent news surrounding Sectra AB (publ) suggests a lack of significant insider ownership, which could be a negative driver for the stock. The company was not mentioned in recent articles highlighting Swedish growth stocks with high insider ownership, such as those from October 2024. In contrast, other Swedish growth stocks with high insider ownership were highlighted for their potential alignment of interests and commitment to long-term performance.

1.c. Company Highlights

2. Transcript Summary

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3. NewsRoom

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Swedish health care region expands with Sectra and digitizes pathology for advanced cancer care

Dec -04

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Invitation to presentation of Sectra's six-month report 2025/2026

Nov -28

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SECTRA LAUNCHES ITS BUILT-IN REPORTING SOLUTION IN THE US--ACCELERATES DIAGNOSTICS FOR IMPROVED PATIENT CARE

Nov -26

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Sectra at RSNA 2025: Supporting subspecialty workflows and photon-counting CT at the workstation to reduce burnout risk and improve patient care

Nov -24

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Exploring High Growth Tech Stocks In November 2025

Nov -17

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LARGE HEALTH SYSTEM IN SOUTHEAST US ADOPTS SECTRA'S CLOUD SERVICE ACROSS 11 SITES TO ENSURE RELIABILITY IN THEIR DELIVERY OF EXCELLENT PATIENT CARE

Nov -13

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The Bull Case For Sectra (OM:SECT B) Could Change Following Launch of Secure Collaboration Platform

Nov -11

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German health network chooses Sectra to improve diagnostics and reduce risk of radiology burnout

Nov -11

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (11.87%)

6. Segments

Imaging IT Solutions

Expected Growth: 12%

Sectra AB's 12% growth in Imaging IT Solutions is driven by increasing demand for digital healthcare, adoption of cloud-based services, and expansion into new geographic markets. Additionally, the company's focus on innovation, strategic partnerships, and cost-effective solutions contribute to its growth momentum.

Secure Communications

Expected Growth: 11%

Sectra AB's Secure Communications segment growth is driven by increasing demand for secure communication solutions, particularly in the defense and government sectors. The company's strong brand reputation, innovative products, and strategic partnerships contribute to its 11% growth. Additionally, the rising need for cybersecurity and data protection in the digital age fuels demand for Sectra's secure communication solutions.

Business Innovation

Expected Growth: 10%

Sectra AB's 10% business innovation growth driven by increasing demand for digitalization in healthcare, expansion into new markets, and strategic partnerships. The company's innovative solutions, such as AI-powered medical imaging and cybersecurity, address pressing industry needs, fueling growth. Additionally, Sectra's strong R&D investments and commitment to sustainability further support its growth momentum.

Other

Expected Growth: 9%

Sectra AB's 9% growth is driven by increasing demand for medical imaging IT solutions, expansion into new markets, and strategic partnerships. The company's focus on innovation, particularly in AI and cloud-based technologies, has enabled it to capitalize on the growing need for digital healthcare solutions.

7. Detailed Products

Medical Imaging IT Solutions

Sectra's medical imaging IT solutions provide a comprehensive platform for managing and analyzing medical images, enabling healthcare providers to improve patient care and reduce costs.

Digital Pathology Solutions

Sectra's digital pathology solutions enable the digitalization of pathology workflows, improving diagnostic accuracy and reducing turnaround times.

Orthopaedic Planning Systems

Sectra's orthopaedic planning systems provide surgeons with advanced planning tools for orthopaedic procedures, enabling them to improve patient outcomes and reduce complications.

Enterprise Imaging Solutions

Sectra's enterprise imaging solutions provide a comprehensive platform for managing and analyzing medical images across the enterprise, enabling healthcare providers to improve patient care and reduce costs.

Cybersecurity Services

Sectra's cybersecurity services provide healthcare providers with advanced threat detection and incident response capabilities, enabling them to protect sensitive patient data.

8. Sectra AB (publ)'s Porter Forces

Forces Ranking

Threat Of Substitutes

Sectra AB (publ) operates in the medical technology industry, where substitutes are limited. However, there is a growing trend towards digitalization and artificial intelligence, which could potentially disrupt the industry.

Bargaining Power Of Customers

Sectra AB (publ) has a diverse customer base, including hospitals and healthcare providers. While customers have some bargaining power, the company's strong brand reputation and high-quality products mitigate this force.

Bargaining Power Of Suppliers

Sectra AB (publ) has a diversified supply chain, and suppliers have limited bargaining power. The company's strong relationships with suppliers and its ability to negotiate prices also reduce this force.

Threat Of New Entrants

The medical technology industry has high barriers to entry, including regulatory hurdles and significant capital requirements. This limits the threat of new entrants and gives Sectra AB (publ) a competitive advantage.

Intensity Of Rivalry

The medical technology industry is highly competitive, with several established players. Sectra AB (publ) faces intense competition from companies such as Siemens Healthineers and GE Healthcare, which could impact its market share and pricing power.

9. SWOT Analysis

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 5.97%
Debt Cost 3.95%
Equity Weight 94.03%
Equity Cost 9.62%
WACC 9.28%
Leverage 6.34%

11. Quality Control: Sectra AB (publ) passed 8 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
Sectra

A-Score: 4.8/10

Value: 0.0

Growth: 8.3

Quality: 8.9

Yield: 0.6

Momentum: 5.5

Volatility: 5.3

1-Year Total Return ->

Stock-Card
Medacta

A-Score: 4.8/10

Value: 0.9

Growth: 6.6

Quality: 6.8

Yield: 0.6

Momentum: 7.0

Volatility: 6.7

1-Year Total Return ->

Stock-Card
Getinge

A-Score: 4.3/10

Value: 3.4

Growth: 3.8

Quality: 5.2

Yield: 3.1

Momentum: 4.0

Volatility: 6.0

1-Year Total Return ->

Stock-Card
Demant

A-Score: 4.0/10

Value: 3.6

Growth: 6.8

Quality: 6.4

Yield: 0.0

Momentum: 2.0

Volatility: 5.3

1-Year Total Return ->

Stock-Card
LivaNova

A-Score: 3.8/10

Value: 6.2

Growth: 5.8

Quality: 4.0

Yield: 0.0

Momentum: 4.0

Volatility: 3.0

1-Year Total Return ->

Stock-Card
Ambu

A-Score: 3.0/10

Value: 0.8

Growth: 5.9

Quality: 6.2

Yield: 0.0

Momentum: 2.0

Volatility: 3.0

1-Year Total Return ->

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

254.0$

Current Price

254$

Potential

-0.00%

Expected Cash-Flows