Citi upgrades EQT stock to buy on fundraising outlook and exit activity
Investing.com
Published Jun 26, 2025 04:06AM ET
Investing.com - Citi upgraded EQT AB (ST:EQTAB) (EQT:SS) stock rating to buy from neutral on Thursday, while raising its price target to SEK335.00 from SEK270.00, citing multiple potential catalysts over the next 12 months.
The Swedish private equity firm's shares have recovered almost 30% from their early to mid-April lows, but Citi believes further upside remains. The bank highlighted several factors that could drive EQT's stock higher, including a constructive outlook at upcoming first-half 2025 results.
Citi expects acceleration in exit activity from current robust levels, which would strengthen confidence in EQT's fundraising capabilities. The firm specifically mentioned execution opportunities for BPEA IX fundraising and potential upside for EQT XI and Infra VII funds.
The bank also noted that EQT offers "attractive M&A optionality," referencing a May 2 Bloomberg report that linked EQT to investment manager Arctos. Citi sees EQT as "relatively more geared to an uptick in industry activity" in the second half of 2025 and beyond.
Citi's new SEK335 price target implies EQT should trade at a two-year forward price-to-earnings ratio of 19x and an adjusted comparable fee-related earnings multiple of 27x. The bank increased its earnings estimates for EQT by up to 20%.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.
Get The News You Want
Written By: Investing.com
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.