Stahre was appointed as AIK's manager on 10 November 2008 immediately following the end of the 2008 AIK campaign under Rikard Norling.[1] For the two previous years he had served as manager of FC Väsby United,[1] whom he first promoted from the third tier of Swedish football to the second tier Superettan. In 2008 Stahre led the team to the middle of the table despite having the youngest squad in the league.
In 2006, Stahre was assistant manager to Norling together with Nebojša Novaković.
Stahre is a national championship winning coach for men's junior after leading the AIK youth side to the title in 2004.[2] He has also trained youth teams at Hammarby IF and Gröndals IK.[3] On 26 April 2010, Panionios F.C. Panionios signed Stahre as the new manager.[4] On 28 October 2010, Panionios announced the end of cooperation with Mikael Stahre.[5]
Mikael Stahre appears in a controversial scene in the Sveriges Television documentary The Referee about top referee Martin Hansson as a match between Halmstad BK and Stahre's team AIK has to be postponed due to crowd pressure.
On 13 January 2020, Stahre was announced as the new head coach at Sarpsborg 08.[8]
Kerala Blasters
On 23 May 2024, Stahre was appointed as the head coach of Indian Super League club Kerala Blasters FC on a two-year contract.[9] His first game as the Blasters' gaffer came in the 2024 Durand Cup match against Mumbai City FC on 1 August, which the Blasters won with a record-breaking score of 8–0.[10] This victory set a new club record for win margin, making it the highest win in the club's history. It also tied the record for the biggest win in Durand Cup history, matching the 1889 final where Highland Light Infantry defeated Shimla Rifles by the same score.[11]