Absolent Air Care Group AB (ABSO) AI Stock Analysis

• Market Cap: kr2.73B
• Dividend Yield: 1.35%
• Average Volume (3M): 1.68K
• Price to Earnings (P/E): 32.4
• Beta (1Y): 0.05
• Revenue Growth: -8.40%
• EPS Growth: -40.98%
• Country: SE
• Employees: 479
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): 1.83
• Shares Outstanding: 11,320,968
• 10 Day Avg. Volume: 801
• 30 Day Avg. Volume: 1,684
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: kr252.00
• Price Target Upside: 4.56% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 57 Neutral
• Price Target: kr252.00 ▲(4.56% Upside)

The overall stock score reflects a stable but challenged financial performance, with technical indicators suggesting potential short-term weakness. The valuation indicates the stock is relatively expensive, which may limit upside potential. The absence of earnings call data and corporate events means these factors do not influence the score.

Positive Factors

Strong Equity Base

A strong equity base provides financial stability and flexibility, allowing the company to invest in growth opportunities and weather economic downturns.

Operational Efficiency

High profit margins indicate effective cost management and pricing strategies, which can sustain profitability even in challenging market conditions.

Healthy EBIT and EBITDA Margins

Strong EBIT and EBITDA margins reflect the company's ability to generate earnings before interest, taxes, depreciation, and amortization, supporting long-term financial health.

Negative Factors

Decline in Revenue Growth

A decline in revenue growth suggests potential difficulties in expanding market share or product demand, which could impact future earnings.

Decreased Cash Flow

Reduced cash flow growth can limit the company's ability to invest in new projects, pay down debt, or return capital to shareholders, affecting long-term growth.

Decline in Profitability

A declining ROE indicates reduced efficiency in generating profits from shareholders' equity, which may affect investor confidence and future capital raising.

Absolent Air Care Group AB Business Overview & Revenue Model

Company Description

Absolent Air Care Group AB (publ) designs, develops, sells, installs, and maintains air filtration solutions. Its air purification solutions are used to capture air pollutants in a range of industries, including aerospace, automotive, chemical, electronics, pharmaceutical, woodworking, and food industries as well as in power generation, dental laboratories, hotels, and restaurants. The company's commercial kitchen systems comprising airborne particles and gases, hoods, filtration technologies, and fire extinguishing systems. It offers its products under the Absolent, Filtermist, Avani Environmental, Dustcheck, Diversitech, Kerstar, Aerofil, Airmaid, Jeven, Tessu Systems, and Quatro brands. The company serves in Sweden, the United Kingdom, Canada, China, the United States of America, Germany, the Netherlands, Finland, France, Estonia, India, Switzerland, Japan, Hong Kong, Italy, and Norway. The company was formerly known as Absolent Group AB (publ) and changed its name to Absolent Air Care Group AB (publ) in May 2021. The company was founded in 1993 is headquartered in Göteborg, Sweden. Absolent Air Care Group AB (publ) is a subsidiary of Mexab Industri AB.

How the Company Makes Money

Absolent Air Care Group AB generates revenue through the sale of its air filtration products and systems across various industries. Key revenue streams include direct sales to industrial customers, as well as through a network of distributors and partners. The company also earns from the provision of maintenance services and replacement parts for its installed systems, ensuring ongoing customer support and system efficiency. Significant partnerships with industrial equipment manufacturers and companies in sectors such as metalworking, food processing, and pharmaceuticals further contribute to Absolent's earnings, as these collaborations help expand its market reach and product integration.

Absolent Air Care Group AB Financial Statement Overview

Summary

Absolent Air Care Group AB shows a stable financial position with moderate profitability and leverage. However, the decline in revenue and cash flow growth indicates potential challenges in market conditions or operational efficiency.

Income Statement

The income statement shows a mixed performance. The TTM (Trailing-Twelve-Months) data indicates a decline in revenue growth by 3.91%, reflecting potential market challenges. However, the company maintains a decent gross profit margin of 42.93% and a net profit margin of 6.61%, suggesting operational efficiency. The EBIT and EBITDA margins are also healthy at 12.62% and 14.69%, respectively, though they have decreased compared to previous years.

Balance Sheet

The balance sheet reflects a stable financial position with a debt-to-equity ratio of 0.50, indicating moderate leverage. The return on equity (ROE) is 9.35%, which is lower than previous years, suggesting a decline in profitability. The equity ratio stands at 56.85%, demonstrating a strong equity base relative to total assets.

Cash Flow

The cash flow statement reveals challenges in cash generation, with a significant decline in free cash flow growth by 30.64% in the TTM period. The operating cash flow to net income ratio is 0.56, indicating moderate cash conversion efficiency. The free cash flow to net income ratio is 0.59, showing a decrease in cash flow relative to net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.30B	1.40B	1.41B	1.34B	1.03B	895.86M
Gross Profit	559.14M	609.63M	620.44M	548.21M	414.19M	303.37M
EBITDA	191.32M	276.81M	258.53M	252.45M	169.58M	93.31M
Net Income	86.06M	143.92M	140.22M	151.75M	98.23M	-55.09M
Balance Sheet
Total Assets	1.61B	1.68B	1.68B	1.67B	1.46B	1.13B
Cash, Cash Equivalents and Short-Term Investments	197.59M	255.83M	298.08M	335.52M	233.23M	451.85M
Total Debt	452.38M	496.78M	594.94M	628.65M	625.33M	581.75M
Total Liabilities	693.43M	734.51M	873.34M	971.64M	927.18M	783.07M
Stockholders Equity	913.82M	943.66M	806.02M	694.29M	530.04M	343.79M
Cash Flow
Free Cash Flow	79.43M	111.06M	192.48M	168.91M	99.35M	40.50M
Operating Cash Flow	135.11M	146.11M	214.09M	196.14M	114.51M	54.45M
Investing Cash Flow	-57.89M	-37.09M	-101.39M	-45.43M	-252.35M	-35.55M
Financing Cash Flow	-130.21M	-163.18M	-146.50M	-62.43M	-90.75M	289.38M

Absolent Air Care Group AB Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 241.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:ABSO, the sentiment is Negative. The current price of 241 is below the 20-day moving average (MA) of 246.80, below the 50-day MA of 247.80, and below the 200-day MA of 243.43, indicating a neutral trend. The MACD of -0.56 indicates Positive momentum. The RSI at 46.10 is Neutral, neither overbought nor oversold. The STOCH value of 32.95 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:ABSO.

Absolent Air Care Group AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$10.84B	15.52	7.40%	2.00%	2.86%	-14.57%
ABSO	57 Neutral	kr2.73B	32.36		1.35%	-8.40%	-40.98%
0HW9	―	kr781.99M	22.66	44.23%	6.34%	―	―
5TOA	―	€777.22M	32.12	14.35%	―	―	―
2GP	―	€1.64B	24.27	9.98%	―	―	―
7X9	―	€150.37M	―	-39.65%	―	―	―
NMAN	64 Neutral	kr5.77B	20.39		2.40%	-0.99%	-18.07%