BillerudKorsnas AB (BILL) AI Stock Analysis

• Market Cap: kr21.65B
• Dividend Yield: 3.75%
• Average Volume (3M): 535.78K
• Price to Earnings (P/E): 17.9
• Beta (1Y): 0.75
• Revenue Growth: 2.55%
• EPS Growth: 98.53%
• Country: SE
• Employees: 5,890
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Paper, Lumber & Forest Products
• EPS (TTM): -0.25
• Shares Outstanding: 249,611,420
• 10 Day Avg. Volume: 481,672
• 30 Day Avg. Volume: 535,777
• PEG Ratio: 0.06
• Price to Book (P/B): 0.87
• Price to Sales (P/S): 0.58
• P/FCF Ratio: 42.55
• 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: kr92.00
• Price Target Upside: -1.45% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 70 Outperform
• Price Target: kr101.00 ▲(8.19% Upside)

BillerudKorsnas AB's overall stock score is driven by its stable financial performance, particularly strong cash flow management and a solid balance sheet. The technical analysis indicates bullish momentum, supporting a positive outlook. The valuation is reasonable, with a fair P/E ratio and an attractive dividend yield. The absence of earnings call and corporate event data does not impact the score.

Positive Factors

Sustainable Business Model

The company's commitment to sustainability aligns with global trends towards eco-friendly products, potentially enhancing its market position and appeal to environmentally conscious consumers.

Strong Cash Flow Generation

Robust cash flow generation supports operational and investment needs, providing flexibility for strategic initiatives and resilience against market fluctuations.

Solid Balance Sheet

A strong balance sheet with low leverage and high equity financing enhances financial stability, enabling the company to withstand economic downturns and invest in growth opportunities.

Negative Factors

Low Revenue Growth

Declining revenue growth could hinder long-term profitability and market expansion, necessitating strategic adjustments to capture new opportunities and drive sales.

Low Net Profit Margin

A low net profit margin indicates challenges in cost management and non-operating expenses, potentially impacting the company's ability to reinvest in growth and innovation.

Operational Efficiency Challenges

Moderate operational efficiency suggests potential inefficiencies in production or cost management, which could limit profitability and competitiveness in the long term.

BillerudKorsnas AB Business Overview & Revenue Model

Company Description

BillerudKorsnäs AB (publ) provides fiber based packaging materials and solutions in Sweden and internationally. It operates through three segments: Product area Board, Product area Paper, and Solutions & Other. The company offers kraft papers for medical equipment and food packaging sectors; and sack papers for making sacks. It also provides packaging solutions and systems for brand owners; and manufactures and sells liquid packaging and carton boards, as well as fluting and liners. The company serves packaging manufacturers, brand owners, and large retail and supermarket chains. BillerudKorsnäs AB (publ)was incorporated in 1926 and is headquartered in Solna, Sweden.

How the Company Makes Money

BillerudKorsnas AB generates revenue through the sale of various paper products, paperboards, and packaging solutions. The company primarily earns money by supplying high-quality packaging materials that cater to the needs of various industries, ensuring that their products meet sustainability standards. Key revenue streams include the sale of liquid packaging board, containerboard, and specialty papers, which are utilized in food packaging and consumer goods. Additionally, BillerudKorsnas benefits from long-term contracts with major clients and strategic partnerships that enhance its market presence and stability. The company's focus on sustainable practices also attracts environmentally conscious consumers and businesses, potentially leading to increased sales and profitability.

BillerudKorsnas AB Financial Statement Overview

Summary

BillerudKorsnas AB presents a stable financial profile with strengths in cash flow generation and a solid balance sheet. While the company faces challenges in revenue growth and net profit margins, its operational efficiency and conservative leverage position it well for future opportunities.

Income Statement

BillerudKorsnas AB shows a mixed performance in its income statement. The company has a strong gross profit margin of 47.94% in TTM, indicating efficient production processes. However, the net profit margin is relatively low at 4.22%, suggesting challenges in controlling non-operating expenses. Revenue growth has been negative recently, with a decline of 1.30% in TTM, which could be a concern for future profitability. The EBIT and EBITDA margins are moderate, reflecting stable operational efficiency but room for improvement in cost management.

Balance Sheet

The balance sheet of BillerudKorsnas AB is relatively strong, with a debt-to-equity ratio of 0.27, indicating a conservative approach to leverage. The return on equity (ROE) is modest at 6.55%, suggesting moderate efficiency in generating returns from equity. The equity ratio stands at 57.10%, highlighting a solid capital structure with a significant portion of assets financed by equity. Overall, the company maintains a stable financial position with manageable debt levels.

Cash Flow

BillerudKorsnas AB demonstrates a robust cash flow position. The free cash flow growth rate is impressive at 37.72% in TTM, indicating strong cash generation capabilities. The operating cash flow to net income ratio is 0.36, reflecting adequate cash flow relative to net income. The free cash flow to net income ratio is 0.45, suggesting effective conversion of earnings into cash. These metrics indicate a healthy cash flow situation, supporting the company's operational and investment needs.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	42.69B	43.45B	41.22B	42.59B	26.21B	23.88B
Gross Profit	15.75B	21.17B	18.86B	23.08B	13.36B	11.33B
EBITDA	4.78B	5.47B	3.33B	8.47B	3.88B	2.73B
Net Income	1.21B	1.75B	484.00M	4.59B	1.49B	660.00M
Balance Sheet
Total Assets	48.02B	50.23B	47.93B	51.41B	37.98B	36.36B
Cash, Cash Equivalents and Short-Term Investments	1.66B	2.56B	2.30B	2.05B	3.56B	3.04B
Total Debt	7.22B	7.97B	7.58B	5.43B	6.73B	7.59B
Total Liabilities	20.42B	21.25B	20.98B	22.16B	17.94B	17.07B
Stockholders Equity	27.60B	28.98B	26.95B	29.25B	20.04B	19.29B
Cash Flow
Free Cash Flow	2.11B	593.00M	113.00M	3.50B	2.37B	1.08B
Operating Cash Flow	4.47B	3.03B	3.29B	6.83B	3.89B	2.33B
Investing Cash Flow	-2.33B	-2.41B	-3.13B	-9.42B	-1.50B	-1.22B
Financing Cash Flow	-1.97B	-545.00M	154.00M	895.00M	-1.90B	-1.50B

BillerudKorsnas AB Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 93.35
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:BILL, the sentiment is Positive. The current price of 93.35 is above the 20-day moving average (MA) of 88.86, above the 50-day MA of 86.39, and below the 200-day MA of 95.53, indicating a neutral trend. The MACD of 1.32 indicates Negative momentum. The RSI at 66.61 is Neutral, neither overbought nor oversold. The STOCH value of 94.24 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SE:BILL.

BillerudKorsnas AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BILL	70 Outperform	kr21.65B	17.88	4.43%	3.75%	2.55%	98.53%
HOLM.B	66 Neutral	kr55.82B	19.13	―	2.58%	-1.15%	2.30%
HOLM.A	63 Neutral	kr55.82B	19.24	5.02%	2.59%	-1.15%	2.30%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
SCA.B	61 Neutral	kr86.15B	24.33	3.38%	2.45%	6.10%	-3.62%
STE.R	49 Neutral	kr87.08B	―	―	3.48%	3.43%	78.62%
STE.A	49 Neutral	kr87.08B	―	―	2.45%	3.43%	78.62%