Why did Atlas Copco rise on 6 October?
Written after the close on
Atlas Copco +2.86%
Atlas Copco rose sharply as its China acquisition closed. Atlas Copco climbed clearly over the last five trading days while the Stockholm market was roughly flat, and it outpaced a market that rose clearly in the latest session. The likely driver was the completed takeover of a Chinese maker of industrial heating and cooling equipment, announced as finalised in early October, which adds roughly a thousand employees and about 1.8 billion kronor of annual revenue to its compressor business. A broker consensus of "moderate buy" and a jump in short interest — bets that the shares will fall — were background noise rather than the cause. Watch the late-October earnings report for how acquisitions and orders feed through.