Alleima AB (ALLEI) AI Stock Analysis

• Market Cap: kr20.64B
• Dividend Yield: 2.85%
• Average Volume (3M): 335.02K
• Price to Earnings (P/E): 30.5
• Beta (1Y): 1.15
• Revenue Growth: -2.06%
• EPS Growth: -26.19%
• Country: SE
• Employees: 6,414
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Steel
• EPS (TTM): 1.06
• Shares Outstanding: 250,877,180
• 10 Day Avg. Volume: 305,444
• 30 Day Avg. Volume: 335,019
• PEG Ratio: -0.68
• Price to Book (P/B): 1.24
• Price to Sales (P/S): 1.10
• P/FCF Ratio: 23.86
• 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: kr68.00
• Price Target Upside: -21.97% Downside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 65 Neutral
• Price Target: kr84.00 ▼(-3.61% Downside)

The score is driven primarily by solid financial stability from a conservatively positioned balance sheet, partially offset by recent revenue/margin pressure and weaker cash conversion. Technical indicators point to near-term weakness, and valuation appears relatively expensive (P/E 28.26) with only moderate support from a ~2.96% dividend yield.

Positive Factors

Conservative balance sheet

A conservatively positioned balance sheet with low leverage and sizable equity gives Alleima the financial flexibility to fund capex, sustain dividends and navigate cyclical downturns without urgent refinancing. This structural strength supports durable operations and strategic optionality.

Specialty, high-value business model

Alleima’s B2B focus on premium stainless steels, nickel alloys and engineered components for mission-critical end markets leverages technical know‑how and long qualification cycles. This reduces direct commodity competition, supports pricing power and fosters durable repeat demand and margins.

Consistent positive free cash flow

Consistent positive operating and free cash flow, with strong rebounds in 2023 and 2025, provides internal funding for maintenance capex, targeted investments and shareholder returns. Reliable FCF enhances resilience across cycles versus peers that rely more on external funding.

Negative Factors

Recent revenue and margin weakness

Sustained revenue declines and falling gross and operating margins reduce intrinsic profitability and returns on capital. If structural, this pressures reinvestment capacity, weakens competitive investment cycles and can make it harder to sustain premium pricing over the medium term.

Weaker cash conversion

Persistent cash conversion below reported earnings suggests working‑capital or timing inefficiencies. Over time this elevates liquidity and financing risk, constrains the ability to self‑fund growth or dividends, and increases exposure to cyclical swings in receivables or inventories.

Negative revenue and EPS growth

Declining top‑line and a sharp EPS contraction indicate meaningful earnings pressure and loss of scale. This reduces free resources for R&D, capex and shareholder returns, and may reflect weaker end‑market demand or eroding pricing power that could persist over the medium term.

Alleima AB Business Overview & Revenue Model

Company Description

Alleima AB (publ) develops, manufactures, and supplies value-added products in stainless steels and special alloys, and products for industrial heating worldwide. It offers tubular products, bars and billets, heating material and technology products, strip steels, medical wires, and coated strip steels. The company provides products to various customer segments, which include seamless stainless tubes, industrial heating elements, wire for medical devices, and precision strip steels. It also offers electrical heating solutions, resistance materials, and medical wire. The company was founded in 1862 and is headquartered in Sandviken, Sweden.

How the Company Makes Money

Alleima AB generates revenue through the sale of its high-performance materials and components, which are utilized in various industries including energy, aerospace, and medical technology. Key revenue streams include the production and distribution of tubes, pipes, and wire, as well as specialized solutions tailored to customer specifications. The company benefits from long-term contracts and partnerships with major players in its target sectors, ensuring a stable demand for its products. Additionally, Alleima invests in research and development to innovate new materials and applications, which can lead to new revenue opportunities and enhance its competitive position in the marketplace.

Alleima AB Financial Statement Overview

Summary

Financials are anchored by a strong, low-leverage balance sheet (Balance Sheet Score 86), supporting flexibility through a weaker cycle. However, revenue and margins have softened in 2024–2025 (Income Statement Score 63) and cash conversion has been weaker than net income recently despite positive free cash flow (Cash Flow Score 67).

Income Statement

Revenue has softened recently, with a small decline in 2024 and a larger drop in 2025, after strong growth in 2022–2023. Profitability has also reset lower: gross margin and operating margin have trended down from 2022–2023 peaks, and net margin fell meaningfully in 2025 versus 2023–2024. Offsetting this, the company remains solidly profitable with positive operating earnings across all periods shown, suggesting resilience despite a weaker steel cycle.

Balance Sheet

The balance sheet is conservatively positioned with low leverage: debt is modest relative to equity across the period, even after an uptick in 2024–2025. Equity is sizable and stable versus total assets, supporting financial flexibility. The main watch item is that returns on equity have come down from 2021–2023 levels alongside lower earnings, but the capital structure itself remains a clear strength.

Cash Flow

Cash generation is generally healthy, with operating cash flow consistently positive and free cash flow positive in every year, including a strong rebound from the very weak 2022 free cash flow level. Free cash flow growth was strong in 2023 and 2025, though volatility is notable. A key weakness is that operating cash flow and free cash flow have been running below net income in recent years (and especially in 2025), pointing to less efficient cash conversion and potential working-capital or timing headwinds.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	18.63B	19.69B	20.67B	18.41B	13.85B
Gross Profit	3.45B	3.95B	4.58B	4.71B	3.47B
EBITDA	2.22B	2.53B	3.06B	2.84B	2.43B
Net Income	671.00M	1.22B	1.57B	1.47B	1.21B
Balance Sheet
Total Assets	22.53B	23.85B	23.00B	23.40B	19.89B
Cash, Cash Equivalents and Short-Term Investments	1.89B	1.91B	1.59B	892.00M	1.66B
Total Debt	1.06B	1.67B	509.00M	401.00M	1.84B
Total Liabilities	6.01B	7.23B	7.26B	7.50B	8.13B
Stockholders Equity	16.52B	16.61B	15.73B	15.90B	11.66B
Cash Flow
Free Cash Flow	858.00M	928.00M	1.41B	9.00M	657.00M
Operating Cash Flow	2.01B	2.12B	2.23B	687.00M	1.15B
Investing Cash Flow	-1.23B	-1.19B	-988.00M	-968.00M	-507.00M
Financing Cash Flow	-729.00M	-660.00M	-503.00M	-341.00M	1.44B

Alleima AB Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 87.15
• 50DMA: Positive
• 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:ALLEI, the sentiment is Positive. The current price of 87.15 is above the 20-day moving average (MA) of 82.87, above the 50-day MA of 82.57, and above the 200-day MA of 77.15, indicating a bullish trend. The MACD of -0.58 indicates Positive momentum. The RSI at 51.81 is Neutral, neither overbought nor oversold. The STOCH value of 54.98 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SE:ALLEI.

Alleima AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SSAB.A	69 Neutral	kr73.22B	15.48	7.29%	3.75%	-8.04%	-37.18%
ALLEI	65 Neutral	kr20.64B	30.52	―	2.85%	-2.06%	-26.19%
SSAB.B	65 Neutral	kr73.22B	15.42	7.29%	3.80%	-8.04%	-37.18%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
BEGR	43 Neutral	kr477.13M	-0.67	-46.11%	―	-15.98%	-2831.45%

Alleima AB Corporate Events

Alleima Nomination Committee Backs Continuity with Proposal to Re-elect Entire Board

Alleima AB’s Nomination Committee has proposed the re-election of all current Board members, including Göran Björkman, Claes Boustedt, Ulf Larsson, Andreas Nordbrandt, Susanne Pahlén Åklundh, Victoria Van Camp and Karl Åberg, with Nordbrandt recommended to continue as Chair of the Board, ahead of the company’s Annual General Meeting on April 29, 2026. The proposal signals a preference for continuity in governance and strategic direction at the Swedish advanced materials group, with the committee—composed of representatives from major shareholders AB Industrivärden, Lundbergföretagen, Swedbank Robur Funds, AFA Försäkring, and the Board Chair—set to present additional AGM proposals in the forthcoming formal notice.

The most recent analyst rating on (SE:ALLEI) stock is a Hold with a SEK85.00 price target. To see the full list of analyst forecasts on Alleima AB stock, see the SE:ALLEI Stock Forecast page.

Alleima Profits Hit by Weak Markets and Currency Headwinds but Presses On With Strategic Investments and Higher Dividend

Alleima reported a weak fourth quarter and full-year 2025, with order intake over the past 12 months down 9% and quarterly revenues falling 12%, as softer demand in industrial and chemical and petrochemical segments, particularly in Europe and North America, combined with significant negative currency effects and production constraints to compress margins and push quarterly earnings per share slightly negative. Despite lower profits and a reduced adjusted EBIT margin, the company highlighted robust free cash flow, a strong balance sheet and ongoing cost-cutting and efficiency measures, while pressing ahead with strategic capacity expansions in China, Sandviken and Malaysia and proposing a higher dividend, underscoring management’s confidence in Alleima’s long-term competitiveness and positioning in nuclear, medical and high-quality tube markets amid a turbulent macro environment.

The most recent analyst rating on (SE:ALLEI) stock is a Hold with a SEK90.00 price target. To see the full list of analyst forecasts on Alleima AB stock, see the SE:ALLEI Stock Forecast page.

Alleima Sets Date for Q4 and Full-Year 2025 Results Presentation

Alleima AB has scheduled the publication of its fourth-quarter and full-year 2025 financial results for January 27, 2026, at around 11:30 a.m. CET, followed by a webcast and conference call at 1:00 p.m. CET for investors, analysts and financial media. President and CEO Göran Björkman and CFO Johan Eriksson will present and comment on the results, underlining the company’s ongoing engagement with the capital markets and providing stakeholders with an opportunity to assess Alleima’s financial performance and strategic progress at the start of 2026.

The most recent analyst rating on (SE:ALLEI) stock is a Hold with a SEK90.00 price target. To see the full list of analyst forecasts on Alleima AB stock, see the SE:ALLEI Stock Forecast page.