Rejlers AB (publ) (REJL-B.ST) fair value

ACCE thesis

Rejlers sells engineering, design and technical consulting to industrial, energy and infrastructure clients across the Nordics, Poland and Germany, with its revenue built on billable engineering hours and project management rather than hardware. The moat here is modest: switching costs in long-running infrastructure and process-plant work and a deep bench of certified engineers, but a 6.2% operating margin leaves little room for error. Revenue growth of 9.4% is the stronger signal, and it comes alongside a forward P/E of 11.5 against a trailing 19.1, which implies the market expects earnings to recover sharply from current levels. The question for a deeper look is whether that earnings recovery shows up in margin expansion, since the 8.8% ROE says the business is not yet earning much on its equity. Its absence from any index membership is worth noting as a reason the stock may be under-followed.