SEB SA (SK) AI Stock Analysis

• Market Cap: €2.66B
• Dividend Yield: 5.78%
• Average Volume (3M): 93.05K
• Price to Earnings (P/E): 19.9
• Beta (1Y): 1.42
• Revenue Growth: 1.71%
• EPS Growth: -67.48%
• Country: FR
• Employees: 32,237
• Sector: Financial
• Sector Strength: 70
• Industry: Furnishings, Fixtures & Appliances
• EPS (TTM): 0.01
• Shares Outstanding: 55,337,770
• 10 Day Avg. Volume: 68,568
• 30 Day Avg. Volume: 93,052
• PEG Ratio: -0.52
• Price to Book (P/B): 1.46
• Price to Sales (P/S): 0.58
• P/FCF Ratio: 13.29
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: €69.00
• Price Target Upside: 42.09% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): 4.55
• Revenue Forecast (FY): €8.16B

• Rating: 60 Neutral
• Price Target: €49.00 ▲(0.91% Upside)

The overall stock score reflects a combination of solid financial performance and attractive valuation, offset by weak technical indicators. The company's revenue growth and high dividend yield are positive factors, but the bearish market momentum and declining profit margins present challenges.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective business strategies, supporting long-term financial stability.

Operating Cash Flow

Healthy operating cash flow suggests efficient operations, providing the company with the liquidity needed to fund growth and manage debt.

Stable Equity Ratios

Stable equity ratios indicate a sound financial foundation, enabling the company to withstand market fluctuations and invest in future opportunities.

Negative Factors

Declining Profit Margins

Decreasing profit margins can erode profitability, potentially limiting the company's ability to reinvest in growth and innovation.

Declining Free Cash Flow

Reduced free cash flow may constrain the company's ability to fund new projects, pay down debt, or return capital to shareholders.

Declining ROE

A declining ROE suggests challenges in generating shareholder returns, which could affect investor confidence and long-term capital growth.

SEB SA Business Overview & Revenue Model

Company Description

SEB SA (SK) is a prominent player in the European financial services sector, specializing in investment banking, asset management, and private banking. The company caters to a diverse clientele that includes individual investors, corporations, and institutional clients. SEB offers a wide range of products and services, including wealth management, corporate financing, and advisory services, aimed at fostering long-term relationships and delivering tailored financial solutions.

How the Company Makes Money

SEB SA generates revenue through several key streams, primarily by charging fees for its investment banking services, asset management products, and advisory services. The company earns money from transaction fees associated with mergers and acquisitions, underwriting services, and the management of investment funds. Additionally, SEB benefits from interest income derived from its lending activities, which include providing loans to businesses and individuals. Strategic partnerships with other financial institutions enhance SEB's service offerings and market reach, contributing positively to its overall earnings. Furthermore, the company's commitment to innovation in financial technology helps streamline operations and attract new customers, thereby bolstering its revenue generation capabilities.

SEB SA Financial Statement Overview

Summary

SEB SA demonstrates solid revenue growth, but profit margins are under pressure. The balance sheet shows moderate leverage with stable equity ratios, though declining ROE indicates challenges in generating returns. Cash flow management is mixed, with strong operating cash flows but declining free cash flow, potentially impacting future investments.

Income Statement

SEB SA has shown consistent revenue growth over the years, with a modest increase from 2023 to 2024. Gross profit margin decreased significantly in 2024, likely affecting profitability. EBIT and EBITDA margins remain relatively stable, though the net profit margin has declined, indicating potential cost pressures or increased expenses.

Balance Sheet

The company's debt-to-equity ratio indicates moderate leverage, with a slight reduction in total debt over the recent period. Return on Equity has seen a decline, reflecting on reduced profitability or increased equity. The equity ratio remains stable, suggesting a balanced asset structure.

Cash Flow

Free cash flow decreased significantly in 2024, raising concerns over cash generation capabilities. However, operating cash flow remains healthy compared to net income, suggesting efficient operational performance. The decline in free cash flow growth rate needs to be monitored closely.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	8.27B	8.27B	8.01B	7.96B	8.06B	6.94B
Gross Profit	699.30M	3.36B	3.18B	3.00B	3.07B	2.63B
EBITDA	695.80M	804.00M	913.60M	775.70M	959.90M	752.80M
Net Income	132.70M	232.00M	386.20M	316.20M	453.80M	300.50M
Balance Sheet
Total Assets	9.11B	9.32B	9.25B	9.13B	10.12B	9.27B
Cash, Cash Equivalents and Short-Term Investments	679.10M	1.14B	1.53B	1.34B	2.33B	2.43B
Total Debt	3.35B	3.05B	3.29B	3.31B	3.84B	3.96B
Total Liabilities	5.96B	5.78B	5.79B	5.68B	6.83B	6.54B
Stockholders Equity	2.93B	3.28B	3.20B	3.17B	2.99B	2.47B
Cash Flow
Free Cash Flow	201.00M	359.00M	845.30M	43.20M	360.50M	780.00M
Operating Cash Flow	397.00M	532.50M	1.02B	276.00M	573.40M	962.50M
Investing Cash Flow	-276.80M	-361.10M	-355.40M	-366.40M	357.80M	-868.70M
Financing Cash Flow	-191.60M	-592.30M	-420.80M	-909.50M	-488.50M	905.10M

SEB SA Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 48.56
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR:SK, the sentiment is Neutral. The current price of 48.56 is above the 20-day moving average (MA) of 47.90, below the 50-day MA of 52.35, and below the 200-day MA of 71.16, indicating a neutral trend. The MACD of -0.98 indicates Negative momentum. The RSI at 46.07 is Neutral, neither overbought nor oversold. The STOCH value of 61.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for FR:SK.

SEB SA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
RBO	67 Neutral	€364.71M	27.52	14.30%	3.49%	0.82%	-34.14%
SK	60 Neutral	€2.66B	19.88	4.41%	5.78%	1.71%	-67.48%
ALU10	60 Neutral	€23.01M	-900.00	―	―	3.32%	-104.56%