Electrolux AB (ELUX.B) AI Stock Analysis

• Market Cap: $14.65B
• Dividend Yield: N/A
• Average Volume (3M): 1.39M
• Price to Earnings (P/E): 108.2
• Beta (1Y): 1.25
• Revenue Growth: 0.86%
• EPS Growth: N/A
• Country: SE
• Employees: 41,000
• Sector: Consumer Cyclical
• Sector Strength: 78
• Industry: Furnishings, Fixtures & Appliances
• EPS (TTM): 0.66
• Shares Outstanding: 274,885,600
• 10 Day Avg. Volume: 1,145,143
• 30 Day Avg. Volume: 1,390,060
• 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: 3.42
• Enterprise Value/Revenue: 0.37
• Enterprise Value/Gross Profit: 2.32
• Enterprise Value/Ebitda: 5.73
• 1Y Price Target: $68.49
• Price Target Upside: 26.92% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 4

• Rating: 42 Neutral
• Price Target: kr58.00 ▲(7.49% Upside)

Electrolux AB's overall stock score is primarily impacted by its weak financial performance and overvaluation. The technical analysis indicates bearish momentum, further weighing down the score. While the earnings call provided some positive insights, the challenges in key markets and external pressures remain significant concerns.

Electrolux AB Business Overview & Revenue Model

Company Description

AB Electrolux (publ), together with its subsidiaries, manufactures and sells household appliances in Europe, North America, Latin America, the Asia/Pacific, the Middle East, and Africa. The company offers various appliances, such as refrigerators, freezers, cookers, dryers, washing machines, dishwashers, room air-conditioners, microwave ovens, floor-care products, vacuum cleaners, water heaters, heat pumps, and other small domestic appliances, as well as consumables and accessories. It also provides hobs, ovens, and hoods; and tumble dryers. The company offers its products under the Electrolux, AEG, and Frigidaire brands through retailers, buying groups, and independent stores. AB Electrolux (publ) was founded in 1901 and is headquartered in Stockholm, Sweden.

How the Company Makes Money

Electrolux AB generates revenue primarily through the sale of household appliances such as refrigerators, washing machines, ovens, and vacuum cleaners. The company's revenue model is driven by both direct sales to consumers and partnerships with retail distributors worldwide. Key revenue streams include the sale of major appliances, small appliances, and professional appliances for commercial use, each contributing to a significant portion of total income. Additionally, Electrolux invests in research and development to introduce new technologies and products that meet consumer demands while adhering to sustainability standards. Strategic partnerships with retailers and e-commerce platforms further enhance distribution channels, driving sales growth. Furthermore, Electrolux benefits from an after-sales service model, providing maintenance and spare parts, which also contributes to recurring revenue.

Electrolux AB Financial Statement Overview

Summary

Electrolux AB faces significant financial challenges. The income statement shows declining revenues and low profitability margins. The balance sheet reveals high leverage and low equity, while cash flow analysis indicates negative free cash flow and inefficiencies in cash conversion.

Income Statement

Electrolux AB's income statement shows a challenging period with declining revenue growth and low profitability margins. The TTM data indicates a negative revenue growth rate of -1.85% and a net profit margin of just 0.10%, reflecting significant pressure on profitability. While the gross profit margin is relatively stable at 15.99%, the EBIT and EBITDA margins are low at 1.96% and 6.48%, respectively, indicating operational challenges.

Balance Sheet

The balance sheet reveals high leverage with a debt-to-equity ratio of 5.24, suggesting significant financial risk. Return on equity is low at 1.54%, indicating limited returns for shareholders. The equity ratio stands at 7.12%, reflecting a low proportion of equity financing relative to total assets, which could pose risks in volatile market conditions.

Cash Flow

Cash flow analysis shows concerning trends, with a negative free cash flow and a free cash flow to net income ratio of -3.39, indicating cash flow challenges. Although there is a significant improvement in free cash flow growth, the operating cash flow to net income ratio is low at 0.014, highlighting inefficiencies in converting income into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	135.11B	136.15B	134.45B	134.88B	125.63B	115.96B
Gross Profit	21.60B	20.30B	17.14B	17.70B	23.98B	22.27B
EBITDA	8.75B	7.67B	3.22B	5.29B	11.31B	10.42B
Net Income	135.00M	-1.39B	-5.23B	-1.32B	4.68B	3.99B
Balance Sheet
Total Assets	113.62B	125.39B	120.05B	127.10B	107.61B	99.60B
Cash, Cash Equivalents and Short-Term Investments	10.68B	16.34B	15.50B	17.73B	11.09B	20.37B
Total Debt	42.40B	43.63B	40.87B	41.38B	18.82B	18.07B
Total Liabilities	105.52B	115.67B	108.78B	110.65B	89.00B	80.89B
Stockholders Equity	8.09B	9.72B	11.27B	16.44B	18.60B	18.70B
Cash Flow
Free Cash Flow	-3.02B	-451.00M	-1.70B	-9.66B	1.02B	6.59B
Operating Cash Flow	892.00M	4.20B	4.00B	-2.27B	7.06B	11.93B
Investing Cash Flow	-3.05B	-4.28B	-4.36B	-6.96B	-6.82B	-5.12B
Financing Cash Flow	-1.61B	1.27B	-1.55B	15.60B	-9.79B	2.02B

Electrolux AB Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 53.96
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:ELUX.B, the sentiment is Negative. The current price of 53.96 is below the 20-day moving average (MA) of 56.79, below the 50-day MA of 61.06, and below the 200-day MA of 76.69, indicating a bearish trend. The MACD of -1.75 indicates Positive momentum. The RSI at 36.64 is Neutral, neither overbought nor oversold. The STOCH value of 19.13 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:ELUX.B.

Electrolux AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$18.08B	12.82	-2.51%	3.03%	1.45%	-15.68%
DOM	56 Neutral	kr15.71B	―		2.64%	-14.48%	-311.20%
ELUX.B	42 Neutral	$14.65B	108.18	1.52%	―	0.86%	―
MPZAF	―	$1.09B	81.72	25.72%	1.48%	―	―
BHJC	―	€973.44M	17.15	13.75%	―	―	―
3AJ	―	€1.12B	22.54	13.24%	―	―	―
NWG0	―	€1.32B	17.40	13.09%	―	―	―

Electrolux AB Corporate Events

Electrolux AB Reports Improved Q2 2025 Performance Amid Market Challenges

Electrolux AB reported a slight organic sales growth of 1.8% in Q2 2025, driven by positive performance in North and Latin America, despite a decline in other regions. The company’s operating income improved significantly due to positive contributions from North America and strategic divestments, although operating cash flow was negatively impacted by increased working capital and a French antitrust fine. The company remains focused on its strategic priorities, including cost efficiency and consumer-centric innovations, amid challenging market conditions.

The most recent analyst rating on ($SE:ELUX.B) stock is a Buy with a SEK125.00 price target. To see the full list of analyst forecasts on Electrolux AB stock, see the SE:ELUX.B Stock Forecast page.