Bredband2 i Skandinavien AB (BRE2) AI Stock Analysis

• Market Cap: kr3.12B
• Dividend Yield: 2.74%
• Average Volume (3M): 4.58M
• Price to Earnings (P/E): 28.1
• Beta (1Y): 0.14
• Revenue Growth: 9.77%
• EPS Growth: 18.38%
• Country: SE
• Employees: 240
• Sector: Services
• Sector Strength: N/A
• Industry: Telecommunications Services
• EPS (TTM): 0.03
• Shares Outstanding: 957,095,150
• 10 Day Avg. Volume: 2,404,366
• 30 Day Avg. Volume: 4,582,846
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: kr3.50
• Price Target Upside: 6.71% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 76 Outperform
• Price Target: kr3.50 ▲(6.71% Upside)

Bredband2 i Skandinavien AB's strong financial performance and technical momentum drive the overall positive outlook. The stock's valuation is a concern due to its high P/E ratio, but the attractive dividend yield partially offsets this. The absence of earnings call insights and corporate events means these factors do not impact the overall score.

Bredband2 i Skandinavien AB Business Overview & Revenue Model

Company Description

Bredband2 i Skandinavien AB (BRE2) is a telecommunications company based in Sweden, specializing in providing high-speed internet and data communication services. The company focuses on delivering broadband and related services to both residential and business customers across Scandinavia. Bredband2 is recognized for its commitment to offering reliable and scalable internet solutions tailored to meet the varying needs of its diverse clientele.

How the Company Makes Money

Bredband2 generates revenue primarily through its subscription-based model, where customers pay monthly fees for internet services. The company offers a range of broadband packages, catering to different speed and data requirements, allowing customers to choose plans that best fit their usage patterns. Additionally, Bredband2 provides ancillary services such as IP telephony and network security solutions, which further contribute to its revenue streams. The company's earnings are bolstered by its strategic partnerships with infrastructure providers, enabling it to enhance service delivery and expand its market reach efficiently.

Bredband2 i Skandinavien AB Financial Statement Overview

Summary

Bredband2 i Skandinavien AB demonstrates solid financial strength with consistent revenue growth and profitability. The company maintains efficient operational performance and a robust cash flow position, although the balance sheet reflects moderate leverage with increased debt levels.

Income Statement

Bredband2 i Skandinavien AB has shown consistent revenue growth, with the latest TTM revenue at SEK 1,768.8 million, up from SEK 1,727.4 million in 2024. The gross profit margin remains solid, reflecting efficient cost management. EBIT and EBITDA margins are stable, indicating operational efficiency, though there was a slight decline in EBIT. The net profit margin is healthy, showing profitability.

Balance Sheet

The company maintains a stable financial position with a debt-to-equity ratio of around 0.50, which indicates moderate leverage. The equity ratio is reasonable, reflecting sound asset financing through equity. Return on equity is strong, supported by consistent net income growth. However, the debt levels increased compared to the previous year, which could pose risks if not managed properly.

Cash Flow

Bredband2's cash flow position is robust, with a healthy operating cash flow to net income ratio, indicating strong cash generation relative to profits. Free cash flow growth is positive, enhancing financial flexibility. The company maintains a solid free cash flow to net income ratio, highlighting efficient capital management and the ability to support operations and repay debt.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.77B	1.73B	1.58B	1.53B	1.51B	787.87M
Gross Profit	539.83M	571.48M	398.15M	535.82M	533.49M	258.59M
EBITDA	282.87M	286.65M	263.48M	148.70M	145.56M	115.60M
Net Income	109.12M	109.29M	85.31M	74.19M	81.18M	37.88M
Balance Sheet
Total Assets	1.31B	1.35B	1.29B	1.31B	1.33B	1.15B
Cash, Cash Equivalents and Short-Term Investments	116.33M	128.63M	160.62M	116.89M	125.51M	119.29M
Total Debt	270.74M	283.75M	280.00M	314.11M	328.77M	150.54M
Total Liabilities	770.30M	793.26M	756.47M	778.29M	798.12M	639.13M
Stockholders Equity	537.29M	560.64M	537.49M	530.99M	533.86M	491.57M
Cash Flow
Free Cash Flow	237.86M	218.59M	228.61M	203.66M	201.42M	95.54M
Operating Cash Flow	272.25M	256.21M	256.68M	257.54M	224.59M	115.71M
Investing Cash Flow	-59.64M	-114.55M	-27.95M	-53.87M	-20.02M	-115.09M
Financing Cash Flow	-199.12M	-173.64M	-185.01M	-212.28M	-191.76M	-34.88M

Bredband2 i Skandinavien AB Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3.28
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:BRE2, the sentiment is Positive. The current price of 3.28 is above the 20-day moving average (MA) of 3.27, above the 50-day MA of 2.78, and above the 200-day MA of 2.22, indicating a neutral trend. The MACD of 0.14 indicates Positive momentum. The RSI at 80.01 is Negative, neither overbought nor oversold. The STOCH value of 35.82 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SE:BRE2.

Bredband2 i Skandinavien AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BRE2	76 Outperform	kr3.12B	28.10		2.74%	9.77%	18.38%
BYGGP	68 Neutral	kr1.07B	14.95		2.11%	-1.93%	126.55%
EWRK	66 Neutral	kr1.84B	15.61		6.59%	-13.04%	-7.85%
FG	64 Neutral	kr1.81B	189.47		5.05%	0.86%	-95.12%
Sector *	63 Neutral	kr27.07B	8.15	-7.45%	3.57%	6.12%	-105.14%
SF	40 Neutral	kr2.51B	―		―	-9.57%	-6078.38%