Investors came into Borregaard’s Q3 2026 report with the share price at NOK158 and a modestly positive 7‑day return, already pricing in a decent rebound after a choppy year. The print delivered something stronger. Record quarterly EBITDA of NOK557m with a 29.4% margin turned an earnings story that recently included losses into one centered on earnings power and cash generation.
Market psychology now has a choice: treat today’s move as simple momentum chasing, or recognise that this quarter’s margin rebuild challenges the cautious mood that has followed Borregaard’s compressed trailing net profit margin and high P/E multiple.
Like the earnings power on display at Borregaard but uneasy about paying up after a high P/E and a year that included losses? Check out our short list of sturdier compounders, screened for strong fundamentals and cleaner balance sheets, in the list of solid balance sheet and fundamentals stocks (205 results)
Q3 2026 Borregaard Earnings Summary
- Revenue (Q3 2026 vs Q3 2025): NOK 1,894m vs. NOK 1,799m (up 5.3%)
- Net Income, Excl. Extra Items (Q3 2026 vs Q3 2025): NOK 295m vs. NOK 195m (up 51.3%)
- Basic EPS (Q3 2026 vs Q3 2025): NOK 2.96 vs. NOK 1.96 (up 51.0%)
- EBITDA Margin (Q3 2026 vs Q3 2025): 29.4% vs. 22.2% (record quarterly margin expansion)
Earnings are the headline, but investors who care about what they are paying for Borregaard focus on the cash that actually comes through the business. When you compare Borregaard's cash flows with the current share price, the stock could be a mild 7% undervalued.
Borregaard’s Specialty Shift Clears First Execution Hurdles
Supporters of Borregaard’s specialty led story argue that mix and efficiency projects can carry earnings power.
"The main requirement is that Borregaard successfully executes its shift toward specialty volumes while delivering on climate investments, cost savings and biorefinery debottlenecking, and avoids missteps such as the full Alginor impairment."
Q3 gives that claim some backing. Group EBITDA hit NOK 557m with a 29.4% margin, helped by higher specialty cellulose deliveries, stronger BioMaterials performance, better mix in BioSolutions and energy optimization. Climate and electrification projects reduced 2026 energy costs by about NOK 45m, and management kept the 25% long term EBITDA margin target in play.
Cost Pressure And Project Risks Remain Live For Borregaard
The risk narrative says input inflation and capital missteps can quickly eat into Borregaard’s margin rebuild.
"Cost pressure from raw materials and logistics is still a key risk. Even with wood costs currently about 15% lower, higher energy, sulfur and logistics costs have more than offset this benefit and created a net negative impact in the tens of millions of kroner, which could continue to weigh on net margins and earnings if such input cost pressure persists."
Q3 profitability improves, yet management flags sulfur costs roughly doubling versus last year and warns that rising spot electricity and LNG in Q4 will pressure costs. The earlier Alginor impairment still hangs over execution quality, and management now quantifies a potential NOK 300 to 400m EBITDA hit if currency tailwinds reverse, underlining that some current support is temporary.
The price and this Narrative do not agree. → Uncover what this Narrative says Borregaard is actually worth.
Hunt For Quiet Mispricings
Borregaard reports a Q3 swing back to stronger earnings, showing how quickly sentiment can change for a single stock. The real opportunity lies in research that identifies stocks that could be undervalued before sentiment moves.
- Company 1 - 23% below our estimate - turns a long-cycle defense backlog and autonomous platforms into higher margin, software-rich programs and support contracts.
- Company 2 - 39% below our estimate - uses an integration deal to shift toward higher export volumes and fully utilize expanded vehicle production capacity.
- Company 3 - 42% below our estimate - sells hardware agnostic oncology software, moving from licenses to recurring contracts as AI driven treatment planning gains traction.
Three companies from the same screener. Open the full list of 196 companies trading below our fair value estimates →
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