Thule Group AB Unsponsored ADR (TU00) AI Stock Analysis

Company Guidance

Management said it is “on track” toward its financial targets, which are intended to be reached in the “midterm,” defined as “2 to 4 years,” including an EBIT margin target of 20%, while the dividend payout ratio continues to be above the target. Midterm growth ambitions are 5% for Sport & Cargo Carriers, “almost at” 15% for Active with Kids & Dogs, and 10% for Bags & Mounts. The company expects the approximately 2.5% price increase implemented in August to offset material cost increases going forward, with the effects expected to be “fully in, in quarter 4 basically,” and expects to make “modest” price increases by Jan 1. RV is expected to remain tough also in Q4, with “no major shift in the market in the short term,” while Active with Kids & Dogs is expected to show “great progress” going forward; North America is expected to have a “normalized situation as spring kicks in, in 2027.” For modeling, management said “around 23%” is a normal effective tax rate, and product development costs are expected to decline by 1% as a percentage of sales over “2 to 4 years,” with the percentage expected to come down “a bit again next year” while the absolute number will “probably increase a bit.”