Atlas Copco AB (ATLKY) Stock Price & How to Invest

ATLKY is a sponsored American depositary receipt for the A shares of Atlas Copco AB, the Swedish industrial group. Each ADR represents one A share listed on Nasdaq Stockholm under ATCO A, and Citibank acts as depositary. The program has existed in the US since 1990. Because it trades over the counter rather than on the NYSE or Nasdaq, it is available through most US brokers but can have wider bid-ask spreads and lower volume than the home listing. There is also a second ADR, ATLCY, which tracks the B shares; B shares carry fewer votes and usually trade at a slight discount to A shares. The ADR price reflects two things at once: the krona price of the Stockholm shares and the krona to dollar exchange rate.

Atlas Copco makes equipment that factories, chip fabs and construction sites use every day, and then services it for decades. Compressor Technique sells industrial air and gas compressors, blowers and dryers, from small units for workshops to huge machines for process plants. Vacuum Technique, through the Edwards and Leybold brands, supplies the vacuum pumps and gas abatement systems used in semiconductor manufacturing, displays, solar and research. Industrial Technique sells precision electric tightening tools, assembly systems, adhesive dispensing and machine vision, with car makers as major customers. Power Technique offers portable compressors, generators, dewatering pumps and lighting towers, plus a rental business. Across all four areas, service, spare parts and rentals on a very large installed base provide a recurring revenue stream that makes the group less cyclical than its customer industries.

After a slower 2025, when reported revenue declined and diluted earnings per share slipped to about SEK 5.42, 2026 brought a sharp turn in orders. First-quarter orders were about SEK 45.4 billion, up 5% organically, while revenue of about SEK 40.5 billion grew 3% organically. The second quarter was the standout: orders jumped 27% to roughly SEK 51.0 billion, up 26% organically, with double-digit order growth in every business area and vacuum equipment for semiconductors leading. Revenue rose 8% organically to about SEK 45.0 billion, and the adjusted operating margin improved to 21.0% from 20.4% a year earlier. The third-quarter report, scheduled for October 22, 2026, will show whether that momentum continued.

By most measures, yes, relative to industrial peers. Based on trailing diluted earnings of about SEK 5.46 per share, the shares traded near 38 times earnings in recent months, and around 30 times forward consensus estimates. The premium reflects Atlas Copco's operating margins near 21%, a large and steady service business, returns on capital that have historically been among the best in the sector, and exposure to semiconductor vacuum demand, which investors see as a long-term growth market. The trailing multiple is also inflated somewhat by 2025 earnings, which were held back by a strong krona and a cyclical dip. Whether the valuation holds depends heavily on whether the 2026 order rebound turns into higher revenue and profit in 2027, so the stock can react strongly to quarterly order numbers.

Yes. Atlas Copco pays dividends in Swedish krona, and Citibank passes them through to ADR holders in dollars after fees and taxes. For fiscal 2025, the board proposed SEK 5.00 per share, made up of a SEK 3.00 ordinary dividend and a SEK 2.00 extra distribution, paid in two equal installments during 2026. Because one ADR equals one share, that is roughly $0.50 per ADR at recent exchange rates, though the exact dollar amount depends on the rate on the payment date. Sweden withholds tax on dividends paid to foreign holders, nominally 30%, with the US treaty rate at 15%; getting the treaty rate can require paperwork, and US investors may be able to claim a foreign tax credit. The trailing yield has been modest, around 1.5% to 2.5% depending on whether extra distributions are counted, because the share price is high relative to earnings.

Vacuum Technique is the business area most tied to chipmaking, and it is also the one that swings most with the cycle. Semiconductor fabs need large numbers of vacuum pumps on deposition, etching and lithography tools, plus abatement systems that neutralize toxic process gases. More advanced chips, including the logic and high-bandwidth memory used in AI servers, require more process steps and more vacuum content per wafer. When chipmakers cut capital spending in 2024 and 2025, vacuum orders fell, which weighed on the group. When spending restarted in 2026, vacuum led the 26% organic order jump in the second quarter. The flip side is that chip capex is lumpy, so this division can turn from tailwind to headwind within a few quarters.

Currency matters at two levels. First, Atlas Copco reports in Swedish krona but earns the large majority of its revenue outside Sweden, in dollars, euros, yuan and other currencies. When the krona strengthens, those foreign earnings translate into fewer krona, which is a big reason reported revenue and earnings fell in 2025 even though organic trends were roughly flat to positive. Second, ATLKY itself is priced in dollars, so its value moves with the krona to dollar rate. A stronger krona lowers reported results but raises the dollar value of each ADR, and a weaker krona does the reverse, which partly offsets the effect for US holders. Dividends are declared in krona and converted to dollars, so the dollar payout also changes with the exchange rate.

Atlas Copco is led by President and CEO Vagner Rego, a long-time company executive who took the top job in 2024 after running the Compressor Technique business area. The largest shareholder is Investor AB, the Wallenberg family's holding company, which controls a significant share of the votes through its A share stake and has backed the group for generations. That stable ownership is often cited as a reason Atlas Copco can take a long-term view, keep investing through downturns and pursue steady acquisitions. The company has a history of portfolio reshaping, including spinning off mining equipment maker Epiroc in 2018 to sharpen its focus on industrial equipment. Atlas Copco is not under any announced takeover, and its shares trade on their own fundamentals rather than tracking an offer price.