Swedbank updates small-cap portfolio with Mildef and Vitec

Swedbank has updated its small-cap stock portfolio, adding defense technology company Mildef and software firm Vitec. The bank cited the European rearmament wave, Mildef’s recent acquisition of Roda, and new framework agreements as key drivers for the defense sector inclusion.

Regarding Vitec, Swedbank suggests that the market’s negative reaction due to artificial intelligence concerns is excessive, viewing the stock as undervalued based on organic growth and rising margins. As part of these changes, Asker and Logistea have been removed from the list, though the bank maintains buy recommendations for both.