BofA: Kongsberg Gruppen's Q2 EBIT Margin Missed Expectations; Forecasts Trimmed

05:59 AM EDT, 07/15/2026 (MT Newswires) -- BofA Global Research trimmed its forecasts for Kongsberg Gruppen (KOG.OL) after the Norwegian technology and defense group's second-quarter profitability fell short of expectations. Kongsberg's group EBIT margin stood at 16.1% in the quarter, 110 basis points lower than the Visible Alpha consensus, according to a Tuesday note. On the other hand, order intake climbed 53% year over year to 17.1 billion Norwegian kroner, 24% higher than the consensus, while revenue growth came in broadly in line with expectations. Meanwhile, EPS forecasts for 2026 through 2028 were reduced as the research firm took into account the company's recently completed acquisition of Zone 5 Technologies. "Our revenue forecasts increase as we consolidate Zone 5, but FY'26 EPS goes down c2% due to lower Discovery/Missiles EBIT, partly offset by Zone 5 and higher associates. We reiterate our Buy rating. Kongsberg's long-term growth remains underpinned by its exposure to Air Defence and Missiles, a view supported by a record backlog," BofA said, maintaining the stock's price objective at 465 Norwegian kroner.