Saab AB Unsponsored ADR (SAABY)
OTHER OTC:SAABY
Top Page
Saab AB Unsponsored ADR
(OTC:SAABY)
Select Model
Select Model
Rating:69Neutral
Price Target:
$34.00
▲(28.59% Upside)
Action:DowngradedDate:03/08/26
The score is primarily supported by improving operating and net profitability with moderate leverage. It is held back by inconsistent cash conversion/FCF volatility and a mixed near-term technical picture (negative MACD, price slightly below short-term averages). Valuation is somewhat elevated on P/E, partly balanced by the high dividend yield.
Positive Factors
Improving profitability
Saab's step-up in operating and net margins reflects better program execution and cost control across cycles. Sustained margin expansion increases internal cash generation capacity, supports reinvestment in R&D and services, and strengthens long-term returns on equity and balance-sheet resilience.
Negative Factors
Volatile cash conversion
Inconsistent conversion of profits into free cash flow makes funding of dividends, capex and share actions more timing-dependent. Dependence on milestone receipts and working-capital swings increases financing and execution risk, weakening predictability over medium-term planning horizons.
Read all positive and negative factors
Positive Factors
Negative Factors
Improving profitability
Saab's step-up in operating and net margins reflects better program execution and cost control across cycles. Sustained margin expansion increases internal cash generation capacity, supports reinvestment in R&D and services, and strengthens long-term returns on equity and balance-sheet resilience.
Read all positive factors
Saab AB Unsponsored ADR (SAABY) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$36.21B
Dividend Yield0.27%
Average Volume (3M)69.06K
Price to Earnings (P/E)45.4
Beta (1Y)0.64
Revenue Growth27.43%
EPS Growth35.56%
CountryUS
Employees25,369
SectorIndustrials
Sector Strength72
IndustryAerospace & Defense
Share Statistics
EPS (TTM)0.25
Shares Outstanding1,067,695,600
10 Day Avg. Volume31,105
30 Day Avg. Volume69,056
Financial Highlights & Ratios
PEG Ratio1.09
Price to Book (P/B)6.61
Price to Sales (P/S)3.62
P/FCF Ratio50.88
Enterprise Value/Market Cap9.55
Enterprise Value/Revenue4.38
Enterprise Value/Gross Profit20.20
Enterprise Value/Ebitda37.64
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
Saab AB Unsponsored ADR Business Overview & Revenue Model
Company Description
Saab AB (publ) provides products, services, and solutions for the military defense, aerospace, and civil security markets worldwide. The company operates through five segments: Aeronautics, Dynamics, Surveillance, Kockums, and Combitech. The compa...
How the Company Makes Money
Saab AB primarily makes money by selling defense and security products and delivering long-term programs—typically to national governments and defense agencies—supplemented by recurring service and support revenue over the life of deployed systems...
Saab AB Unsponsored ADR Earnings Call Summary
Earnings Call Date:Feb 06, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:Apr 24, 2026
Earnings Call Sentiment Positive
The call was broadly positive: Saab reported record order intake, a very large SEK 275 billion backlog, strong organic sales growth (~25%), substantial EBIT improvement (+37% year) and excellent cash generation (cash conversion ~68%), and upgraded medium‑term revenue targets. Business areas Dynamics, Surveillance, Kockums and Aeronautics showed momentum with notable contract wins (Gripen Colombia, GlobalEye, Poland A26 selection). Key challenges noted were cash‑flow volatility, supply‑chain/material constraints, capacity ramp needs and program‑specific issues such as the T‑7 under‑absorption and remaining unprofitable items in Surveillance. Political/timing risks around some large platform contracts remain. Overall the positives (record orders, strong financials, backlog and upgraded targets) outweigh the execution and timing risks.Positive Updates
Record Order Intake and Large Backlog
Order bookings SEK 169 billion in 2025 with an exceptionally strong Q4 order intake of SEK 100 billion (versus SEK 17 billion in Q4 2024, ~+488%), resulting in a record backlog of SEK 275 billion (≈3.5x 2025 sales).
Negative Updates
Quarterly Cash Flow Volatility
Management emphasized significant volatility in operational cash flow across quarters despite a strong full‑year outcome; timing of milestone payments and deliveries can create large quarter‑to‑quarter swings.
Read all updates
Q4-2025 Updates
Positive
Negative
Record Order Intake and Large Backlog
Order bookings SEK 169 billion in 2025 with an exceptionally strong Q4 order intake of SEK 100 billion (versus SEK 17 billion in Q4 2024, ~+488%), resulting in a record backlog of SEK 275 billion (≈3.5x 2025 sales).
Read all positive updates
Company Guidance
Saab upgraded its medium‑term revenue target to 22% average growth over 2023–27 (implying roughly 20% average in 2026–27) and reiterated that EBIT should grow faster than sales and that cash conversion should stay above 60%. The company enters 2026 with a record backlog of SEK 275bn (3.5x 2025 sales) after SEK 169bn in order bookings in 2025 (SEK 100bn in Q4); 2025 results were sales SEK ~79bn (+24.1% reported, +25.6% organic), EBIT +37% to a 9.8% margin and EPS/net income +51%. Operational cash flow was ~SEK 12bn with cash conversion 68%, investments SEK 7.2bn (R&D doubled and CapEx tripled vs prior years), ROCE 16.5%, net liquidity SEK 4bn (cash & liquid investments SEK 18.7bn) and an unused SEK 6bn revolving credit; the Board proposes a SEK 2.40/share dividend (+20%).Saab AB Unsponsored ADR Financial Statement Overview
Summary
Income Statement
82
Very Positive
Balance Sheet
74
Positive
Cash Flow
68
Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 79.15B | 63.75B | 51.61B | 42.01B | 39.15B |
| Gross Profit | 17.17B | 13.66B | 11.26B | 8.89B | 8.21B |
| EBITDA | 9.48B | 8.49B | 7.21B | 4.70B | 4.26B |
| Net Income | 6.31B | 4.17B | 3.38B | 2.19B | 1.93B |
Balance Sheet | |||||
| Total Assets | 124.70B | 99.82B | 82.76B | 72.36B | 65.04B |
| Cash, Cash Equivalents and Short-Term Investments | 15.36B | 11.74B | 13.71B | 12.86B | 11.84B |
| Total Debt | 14.71B | 10.38B | 10.04B | 9.99B | 9.72B |
| Total Liabilities | 81.03B | 64.01B | 50.40B | 42.49B | 41.79B |
| Stockholders Equity | 43.34B | 35.50B | 32.03B | 29.49B | 22.98B |
Cash Flow | |||||
| Free Cash Flow | 5.63B | 1.89B | 2.92B | 2.34B | 3.19B |
| Operating Cash Flow | 11.38B | 6.73B | 6.46B | 4.65B | 5.71B |
| Investing Cash Flow | -11.64B | -4.18B | -5.92B | -2.44B | -4.70B |
| Financing Cash Flow | 647.00M | -1.93B | -1.23B | -1.18B | -1.64B |
Saab AB Unsponsored ADR Technical Analysis
Positive
26.44
Price Trends
35.77
Negative
32.87
Positive
30.08
Positive
Market Momentum
-0.65
Negative
48.08
Neutral
56.66
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SAABY, the sentiment is Positive. The current price of 26.44 is below the 20-day moving average (MA) of 34.52, below the 50-day MA of 35.77, and below the 200-day MA of 30.08, indicating a neutral trend. The MACD of -0.65 indicates Negative momentum. The RSI at 48.08 is Neutral, neither overbought nor oversold. The STOCH value of 56.66 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SAABY.
Saab AB Unsponsored ADR Peers Comparison
UnderperformOutperform
Sector (63)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
77 Outperform | $98.01B | 19.57 | 26.50% | 1.55% | -0.14% | 72.35% | |
75 Outperform | $66.86B | 47.45 | 8.28% | 1.61% | 2.83% | 47.00% | |
74 Outperform | $92.99B | 21.58 | 17.57% | 1.73% | 11.86% | 17.39% | |
74 Outperform | $143.54B | 22.26 | 80.53% | 2.77% | 2.88% | -35.15% | |
69 Neutral | $36.21B | 45.39 | 15.59% | 0.27% | 27.43% | 35.56% | |
63 Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% | |
55 Neutral | $28.25B | 3,805.02 | 4.32% | ― | 31.77% | -15.34% |
* Industrials Sector Average
SAABY
Saab AB Unsponsored ADR
33.43
12.64
60.78%
GD
General Dynamics
343.90
77.23
28.96%
LHX
L3Harris Technologies
357.97
148.06
70.53%
LMT
Lockheed Martin
623.87
172.50
38.22%
NOC
Northrop Grumman
690.57
182.64
35.96%
AXON
Axon Enterprise
351.33
-199.92
-36.27%
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.