Education
About Us
Working with TipRanks
Follow Us
Elekta AB (EKTAY)
OTHER OTC:EKTAY
Top Page
Elekta AB
(OTC:EKTAY)
Rating:66Neutral
Price Target:
$5.50
▲(11.11%Upside)
Elekta AB (EKTAY) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$1.91B
Dividend Yield0.43%
Average Volume (3M)84.00
Price to Earnings (P/E)84.5
Beta (1Y)0.92
Revenue Growth0.41%
EPS Growth-83.29%
CountryUS
Employees4,541
SectorHealthcare
Sector Strength47
IndustryMedical - Instruments & Supplies
Share Statistics
EPS (TTM)-0.10
Shares Outstanding368,588,000
10 Day Avg. Volume0
30 Day Avg. Volume84
Financial Highlights & Ratios
PEG Ratio4.26
Price to Book (P/B)1.78
Price to Sales (P/S)0.00
P/FCF Ratio27.24
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
Elekta AB Business Overview & Revenue Model
Company DescriptionElekta AB (publ), a medical technology company, provides clinical solutions for treating cancer and brain disorders worldwide. The company offers Versa HD, a brain metastases solution; Elekta Unity, a MR-Linac technology; Elekta Harmony, a linear accelerator; Elekta Infinity for treating a range of patients with simple-to-complex radiotherapy needs; Elekta Synergy, a digital accelerator for advanced image-guided radiation therapy; treatment management solutions; automated and integrated quality assurance solutions; and hardware and software motion management technology. It also provides MOSAIQ Plaza for multidisciplinary cancer care; Elekta Axis Cloud, a managed hosting service; Elekta Studio, an image-guided brachytherapy solution; ImagingRing, a mobile CT scanner; Oncentra Brachy, a smart tool that facilitate repetitive tasks; Venezia applicator that enables the radiation oncologist to treat locally advanced cervical cancer; Elekta Flexitron afterloader for enabling the precise execution of all steps in the workflow; and Geneva, an applicator for cervical cancer treatment. In addition, the company offers Leksell Gamma Knife Icon for personalized radiation treatment; Leksell Gamma Knife Perfexion, a tool for neurosurgeons; Leksell Gamma Knife Lightning for accelerated radiosurgery. Further, it provides neurosurgery products comprising Leksell Vantage Stereotactic System for intracranial neurosurgery; and Leksell Stereotactic System or minimally invasive stereotactic neurosurgery. The company was incorporated in 1972 and is headquartered in Stockholm, Sweden.
How the Company Makes MoneyElekta AB generates revenue primarily through the sale of its advanced medical equipment and software solutions to hospitals, clinics, and cancer treatment centers worldwide. The company's key revenue streams include the sale of linear accelerators, which are crucial for radiation therapy, and associated software that optimizes treatment planning and delivery. Additionally, Elekta offers service contracts and support agreements that provide ongoing maintenance and upgrades for their systems, contributing to recurring income. Strategic partnerships with healthcare providers, research institutions, and technology companies also play a significant role in Elekta's revenue generation, as these collaborations often lead to joint development initiatives and expanded market reach.
Elekta AB Earnings Call Summary
Earnings Call Date:May 28, 2025
(Q4-2025)
| % Change Since: -4.81%|
Next Earnings Date:Aug 28, 2025
Earnings Call Sentiment Neutral
The earnings call presented a mix of strong performance in Europe and solid financial metrics against challenges in the U.S. market, noncash impairments, and slight declines in certain regions like China. Overall, the company demonstrated resilience and positioned for future growth but faced significant hurdles that balanced the positive aspects.Q4-2025 Updates
Positive Updates
Solid Book-to-Bill Ratio
The book-to-bill ratio was 1.09 for the fiscal year '24-'25, indicating a solid foundation for future sales growth, and 1.12 in Q4, showing a positive trend.
Strong Performance in Europe
Elekta Evo and Elekta ONE Planning received positive feedback, driving strong momentum in Europe with a 16% sales increase in constant currencies.
Adjusted Gross Margin Improvement
The adjusted gross margin improved to 37.8% for the full year and 40.3% in Q4, achieving the best Q4 gross margin in five years.
Cash Flow Improvement
Operating cash flow after continuous investments improved by SEK 240 million to SEK 1.056 billion for the full year and by SEK 376 million to SEK 1.248 billion in Q4.
Positive Software Growth
Strong order development for software with a 10% growth, safeguarding margins going forward.
Negative Updates
Order Decline in the U.S.
U.S. market showed continued order decline due to customers waiting for Evo clearance.
Noncash Impairment Charge
A noncash impairment of SEK 1.64 billion was booked, primarily due to changes in R&D project directions.
Challenges in China
Despite improvements, China showed a slight order decline compared to last year's tough comparison.
Adjusted EBIT Margin Decrease
Adjusted EBIT margin decreased slightly to 11.6% for the year, mainly due to higher amortization costs.
Company Guidance
During Elekta's fiscal year 2024-2025, the company reported a book-to-bill ratio of 1.09, indicating a solid foundation for future sales growth. Net sales increased by 1% in constant currencies, aligning with previous guidance, while the adjusted gross margin improved to 37.8%, a year-over-year increase of 30 basis points. However, the adjusted EBIT margin slightly decreased to 11.6%, primarily due to higher amortization costs linked to recent product launches. Operating cash flow improved significantly by SEK 240 million, reaching SEK 1.056 billion for the year. The Board has proposed maintaining the dividend at SEK 2.40 per share, reflecting Elekta's strong financial position. During the fourth quarter, the book-to-bill ratio was 1.12, with net sales up by 6% in constant currencies. The adjusted gross margin rose to 40.3%, the highest in five years, and the adjusted EBIT margin reached 16.3%. A noncash impairment of SEK 1.64 billion was noted, related to changes in the scope of R&D projects. Despite challenges, including a slight decline in China and U.S. sales awaiting Evo clearance, Elekta remains optimistic about leveraging its product portfolio for future growth.Elekta AB Financial Statement Overview
Summary
Elekta AB demonstrates a stable financial position with solid income and balance sheet fundamentals. While there is a slight decline in revenue and free cash flow growth, the company maintains operational efficiency and sound equity management. Addressing the free cash flow decrease should be a priority to enhance liquidity and support growth initiatives.Income Statement
Elekta AB's income statement reveals moderate profitability with a stable gross profit margin and net profit margin. The revenue growth rate from 2024 to the TTM period shows a slight decline, indicating some market challenges. The EBIT and EBITDA margins demonstrate solid operational efficiency, albeit with a minor decline in EBIT margin over the TTM period.70
Positive
Balance Sheet
The balance sheet displays a robust equity position with a healthy equity ratio. The debt-to-equity ratio is manageable, indicating a balanced approach to leveraging. Return on equity is reasonable, suggesting sound profitability relative to equity. Overall, the balance sheet reflects stability with cautious leverage.75
Positive
Cash Flow
Cash flow analysis shows a moderate operating cash flow to net income ratio, reflecting efficient cash generation relative to earnings. The free cash flow has decreased in the TTM period, showing negative growth compared to the previous year, which poses a concern for cash reserves. The free cash flow to net income ratio suggests a need for improved free cash flow generation.65
Positive
| Breakdown | |||||
| TTM | Jun 2024 | Jun 2023 | Jun 2022 | Jun 2021 | Jun 2020 |
|---|---|---|---|---|---|
| Income Statement | Total Revenue | ||||
| 17.88B | 18.12B | 16.87B | 14.55B | 13.76B | 14.60B | Gross Profit |
| 6.52B | 6.80B | 6.35B | 5.44B | 5.61B | 6.14B | EBITDA |
| 2.66B | 3.29B | 2.57B | 2.69B | 3.07B | 2.94B | Net Income |
| 1.04B | 1.30B | 943.00M | 1.15B | 1.25B | 1.08B |
| Balance Sheet | Total Assets | ||||
| 32.95B | 31.41B | 29.61B | 26.30B | 24.84B | 28.41B | Cash, Cash Equivalents and Short-Term Investments |
| 3.58B | 2.78B | 3.27B | 3.07B | 4.40B | 6.46B | Total Debt |
| 8.86B | 7.25B | 6.67B | 5.70B | 6.24B | 9.36B | Total Liabilities |
| 22.12B | 20.63B | 19.88B | 17.39B | 16.65B | 20.30B | Stockholders Equity |
| 10.78B | 10.78B | 9.73B | 8.91B | 8.20B | 8.11B |
| Cash Flow | Free Cash Flow | ||||
| 679.00M | 817.00M | 400.00M | 450.00M | 1.71B | 252.00M | Operating Cash Flow |
| 2.38B | 2.46B | 1.96B | 1.86B | 2.55B | 1.01B | Investing Cash Flow |
| -1.80B | -1.92B | -1.61B | -1.65B | -613.00M | -1.30B | Financing Cash Flow |
| 516.00M | -1.10B | -129.00M | -1.73B | -3.60B | 2.62B |
Elekta AB Technical Analysis
Negative
4.95
Price Trends
5.15
Negative
5.38
Negative
5.71
Negative
Market Momentum
-0.07
Positive
40.90
Neutral
-0.07
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EKTAY, the sentiment is Negative. The current price of 4.95 is below the 20-day moving average (MA) of 5.16, below the 50-day MA of 5.15, and below the 200-day MA of 5.71, indicating a bearish trend. The MACD of -0.07 indicates Positive momentum. The RSI at 40.90 is Neutral, neither overbought nor oversold. The STOCH value of -0.07 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for EKTAY.
Elekta AB Peers Comparison
Overall Rating
UnderperformOutperform
Sector (60)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
76 Outperform | $5.44B | 45.28 | 9.16% | ― | 8.24% | 18.54% | |
76 Outperform | $3.41B | 21.43 | 18.83% | ― | 3.95% | 44.09% | |
66 Neutral | $1.91B | 84.53 | 2.15% | 0.43% | 0.41% | -83.29% | |
60 Neutral | HK$14.77B | 5.42 | -7.43% | 6.08% | 11.72% | -20.69% | |
54 Neutral | $809.26M | 55.81 | -19.14% | ― | -14.44% | -557.38% | |
52 Neutral | $1.90B | ― | -10.59% | ― | -3.18% | 81.18% | |
50 Neutral | $1.86B | ― | -45.52% | ― | 18.27% | 16.28% |
* Healthcare Sector Average
Performance Comparison
EKTAY
Elekta AB
4.95
-1.24
-20.03%
HAE
Haemonetics
72.07
-11.35
-13.61%
MMSI
Merit Medical Systems
92.32
9.56
11.55%
QDEL
QuidelOrtho
27.65
-5.25
-15.96%
STAA
Staar Surgical
16.68
-25.64
-60.59%
NVCR
NovoCure
16.61
-1.43
-7.93%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.