Drillcon AB (DRIL) AI Stock Analysis

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Drillcon AB

(Nasdaq OMX AB:DRIL)

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Rating:60Neutral

Price Target:SEK 4.00▲(3.36% Upside)

Action:reiterated

Date:11/04/26

The score is held back primarily by uneven financial quality—especially weak recent cash conversion and sharply reduced free cash flow—despite a rebound in profitability and strong reported TTM revenue growth. Technicals are supportive with price above key moving averages and positive momentum indicators, while valuation is neutral at a P/E of 17.18 with no dividend yield data to add support.

Positive Factors

Revenue GrowthTTM revenue growth of 339% indicates a substantial rebound in demand for Drillcon’s contract drilling services. If activity is sustained, higher project volumes can improve fleet utilization, broaden operating scale, and support stronger earnings capacity over the next several quarters.

Negative Factors

Thin and Volatile MarginsDespite the recovery, TTM net margin is only about 2.5% and EBIT margin about 4.5%, while profitability has been historically volatile. Thin and inconsistent earnings leave less buffer for operational variability and make sustained returns harder to establish.

Drillcon AB (DRIL) vs. iShares MSCI Sweden ETF (EWD)

Market Cap: SEK 172.60M
Dividend Yield: ―
Average Volume (3M): 21.72K
Price to Earnings (P/E): 17.0
Beta (1Y): 0.09
Revenue Growth: 1.42%
EPS Growth: 84.63%
Country: Sweden
Employees: 293
Sector: General
Sector Strength: 55
Industry: Specialty Business Services

Drillcon AB Business Overview & Revenue Model

Company Description

Drillcon AB (publ) functions as a specialist contractor in diamond core drilling and raise boring, with operations spanning Europe, Latin America, and other international regions. The company delivers a diverse suite of drilling solutions, covering b...

How the Company Makes Money

Drillcon makes money by selling contract drilling services to customers, mainly in mining and construction. Revenue is generated when customers hire Drillcon to perform drilling work (e.g., exploration and/or production-related drilling in mining and...

Drillcon AB Financial Statement Overview

Summary

Income statement shows a rebound with positive TTM net income (10.3M) and EBIT margin (~4.5%) plus strong TTM revenue growth (+339%), but profitability is still modest (TTM net margin ~2.5%) and historically volatile. Balance sheet is workable (debt-to-equity ~0.87) but leverage has risen versus 2023–2024. Cash flow is the main weakness: despite positive operating cash flow (47.3M), cash conversion is low (~0.26) and free cash flow is small (6.0M) with sharp deterioration versus prior period.

Income Statement

58Neutral

Balance Sheet

61Positive

Cash Flow

46Neutral

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	408.04M	394.57M	416.38M	472.86M	413.97M	374.07M
Gross Profit	18.16M	340.27M	25.49M	411.83M	352.63M	326.60M
EBITDA	51.01M	41.16M	60.08M	64.19M	38.79M	22.50M
Net Income	10.34M	43.00K	20.01M	20.99M	3.64M	-6.87M
Balance Sheet
Total Assets	437.53M	406.13M	362.81M	349.04M	355.30M	323.49M
Cash, Cash Equivalents and Short-Term Investments	44.52M	37.22M	51.27M	56.46M	19.60M	10.30M
Total Debt	151.91M	121.94M	92.51M	83.51M	111.15M	75.48M
Total Liabilities	262.83M	235.78M	190.71M	184.24M	209.15M	182.82M
Stockholders Equity	174.70M	170.34M	172.10M	164.80M	146.15M	140.67M
Cash Flow
Free Cash Flow	6.01M	-38.85M	5.00M	66.23M	-22.96M	-56.61M
Operating Cash Flow	47.29M	34.08M	43.14M	73.46M	1.27M	-665.00K
Investing Cash Flow	-71.59M	-72.93M	-38.14M	-6.64M	-24.23M	-53.31M
Financing Cash Flow	35.66M	26.60M	-8.64M	-27.61M	34.91M	16.27M

Drillcon AB Technical Analysis

Technical Analysis SentimentPositive

Last Price3.87

Price Trends

50DMA3.66Positive

100DMA3.76Positive

200DMA3.87Positive

Market Momentum

MACD0.05Negative

RSI62.71Neutral

STOCH75.97Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:DRIL, the sentiment is Positive. The current price of 3.87 is above the 20-day moving average (MA) of 3.67, above the 50-day MA of 3.66, and above the 200-day MA of 3.87, indicating a bullish trend. The MACD of 0.05 indicates Negative momentum. The RSI at 62.71 is Neutral, neither overbought nor oversold. The STOCH value of 75.97 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SE:DRIL.

Drillcon AB Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

SE:DRIL against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SE:RAIL	71Outperform	SEK 698.77M	13.61	―	2.47%	13.32%	79.18%
SE:BOTX	66Neutral	SEK 400.30M	6.34	―	―	99.02%	19.49%
SE:CASE	65Neutral	SEK 650.12M	16.95	―	3.75%	-0.80%	1.29%
SE:DRIL	60Neutral	SEK 173.94M	17.05	―	―	1.42%	84.63%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
SE:INFREA	47Neutral	SEK 362.98M	13.30	―	5.04%	-7.08%	27.77%

* General Sector Average

Performance Comparison

SE:DRIL and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
SE:DRIL	Drillcon AB	3.87	0.07	1.84%
SE:BOTX	Botnia Exploration Holding AB	10.40	-0.60	-5.45%
SE:RAIL	Railcare Group AB	28.30	-0.26	-0.91%
SE:INFREA	Infrea AB	12.90	-0.19	-1.45%
SE:QBEN	Qben Infra AB	5.64	-5.16	-47.78%
SE:CASE	Case Group AB	20.00	-6.29	-23.93%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Nov 04, 2026

Drillcon AB AI Stock Analysis