Electrolux AB (ELUX.B) AI Stock Analysis

• Market Cap: kr16.85B
• Dividend Yield: N/A
• Average Volume (3M): 1.77M
• Price to Earnings (P/E): 19.6
• Beta (1Y): 1.33
• Revenue Growth: 0.24%
• EPS Growth: N/A
• Country: SE
• Employees: 41,000
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Furnishings, Fixtures & Appliances
• EPS (TTM): 1.72
• Shares Outstanding: 274,885,600
• 10 Day Avg. Volume: 1,275,765
• 30 Day Avg. Volume: 1,768,690
• PEG Ratio: -0.12
• Price to Book (P/B): 1.98
• Price to Sales (P/S): 0.13
• P/FCF Ratio: -15.39
• 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: kr76.62
• Price Target Upside: 23.03% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 3
• EPS Forecast (FY): 8.33
• Revenue Forecast (FY): kr129.27B

• Rating: 47 Neutral
• Price Target: kr61.00 ▼(-2.06% Downside)
• Action: Reiterated Date: 03/01/26
• Date: Action: Reiterated 03/01/26

Score is held back primarily by weak cash generation (negative free cash flow and poor cash conversion) and elevated balance-sheet leverage, despite the return to profitability. Technicals are mixed with a better intermediate trend but weak near-term momentum. Valuation appears only fair (P/E ~23.5) given the fragility of margins and cash flows.

Positive Factors

Diversified product portfolio & brands

Electrolux's broad product mix across kitchen, laundry and small appliances and well-known brands support revenue diversification and multi-channel distribution. This reduces dependence on any single category or market, helping sustain demand and resale/parts opportunities over a multi-month horizon.

Return to profitability

Restoring net income and operating profit demonstrates the company can reset cost structure and pricing after prior losses. A profitable baseline provides breathing room to invest in product development and service capabilities, making earnings more resilient over the next several quarters if maintained.

After-sales recurring revenue potential

After-sales services and parts create recurring, higher-margin cash flows tied to the installed base. These annuity-like revenues improve lifetime customer value, smooth cyclicality in new-unit sales, and support margin stability if the company scales service penetration and retention over time.

Negative Factors

Weak cash generation

Persistent negative free cash flow despite a return to accounting profits indicates poor cash conversion and working-capital strain. This reduces ability to self-fund capex, product investment or buybacks, forcing reliance on external financing and constraining strategic flexibility over coming quarters.

Elevated leverage

Sharply higher leverage limits financial flexibility and raises refinancing and interest-rate risk for a cyclical consumer-durables firm. With a reduced equity base, downside earnings volatility could quickly stress covenants or funding costs, constraining investment and operational responses over the medium term.

Fragile margins & revenue decline

Very thin net margins and falling revenue signal limited pricing power and margins not yet normalized. This leaves profits highly sensitive to input-costs, promotional activity or volume declines, meaning small adverse shifts could reverse the recent earnings recovery within months.

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 primarily makes money by selling appliances to consumers and professional customers through a business-to-business supply chain. Its core revenue stream is product sales across major categories (kitchen appliances, laundry, and other household appliances), with revenue recognized when products are sold and delivered through retail partners (e.g., electronics and appliance chains, home-improvement stores), distributors, and certain direct-to-consumer or contract channels depending on market. A secondary revenue stream comes from after-sales activities tied to the installed base of appliances, such as spare parts, accessories/consumables (where applicable), service, repairs, and extended warranty-related offerings, which can provide recurring revenue over the product lifecycle. Profitability and earnings are influenced by product mix (premium vs. mass-market), pricing and promotional intensity, manufacturing scale and utilization, input costs (materials, components, logistics, and energy), currency movements, and the company’s ability to innovate and differentiate products. Significant external factors that affect revenue and margins include housing and replacement cycles, consumer confidence, retailer inventory levels, competitive dynamics, and regulatory/energy-efficiency standards that shape product demand and development costs. Specific material partnerships contributing to earnings: null.

Electrolux AB Financial Statement Overview

Summary

Income statement shows a return to positive net income in 2025, but profitability is still very thin and revenue declined. Balance sheet risk is elevated with sharply higher leverage (debt-to-equity ~5.3x). Cash flow is the weakest area with negative free cash flow across 2022–2025 and negative FCF in 2025 despite positive earnings, indicating poor cash conversion.

Income Statement

Profitability has improved materially from 2022–2024 losses to positive net income in 2025, with operating profit also back in the black. However, the recovery is still thin: 2025 net margin is very low (~0.7%) and revenue declined in 2025 after being roughly flat over the prior two years, indicating limited pricing power and a fragile earnings profile. Margins remain well below 2020–2021 levels, so the earnings rebound looks early-cycle rather than fully normalized.

Balance Sheet

Leverage has increased sharply versus 2020–2021, with debt-to-equity rising to ~5.3x in 2025 (from ~1.0x in 2021) as equity has declined and debt has grown. While return on equity turned positive in 2025, the capital structure leaves less room for error if profitability softens again, and the reduced equity base amplifies risk for a cyclical consumer durables business.

Cash Flow

Cash generation is the weakest area. Operating cash flow fell sharply in 2025 versus 2023–2024, and free cash flow is negative across 2022–2025, including a step-down in 2025 (more negative than 2024). Importantly, 2025 free cash flow is negative despite positive net income, suggesting profits are not translating into cash and increasing reliance on the balance sheet to fund operations and investment.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	131.28B	136.15B	134.45B	134.88B	125.63B
Gross Profit	21.70B	20.30B	17.14B	17.70B	23.98B
EBITDA	9.34B	7.67B	3.22B	5.29B	11.15B
Net Income	878.00M	-1.39B	-5.23B	-1.32B	4.68B
Balance Sheet
Total Assets	114.63B	125.39B	120.05B	127.10B	107.61B
Cash, Cash Equivalents and Short-Term Investments	15.82B	16.34B	15.50B	17.73B	11.09B
Total Debt	46.05B	43.63B	40.87B	41.38B	18.82B
Total Liabilities	105.92B	115.67B	108.78B	110.65B	89.00B
Stockholders Equity	8.70B	9.72B	11.27B	16.44B	18.60B
Cash Flow
Free Cash Flow	-1.12B	-451.00M	-1.70B	-9.66B	1.02B
Operating Cash Flow	1.19B	4.20B	4.00B	-2.27B	7.06B
Investing Cash Flow	-2.69B	-4.28B	-4.36B	-6.96B	-6.82B
Financing Cash Flow	1.94B	1.27B	-1.55B	15.60B	-9.79B

Electrolux AB Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 62.28
• 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 62.28 is below the 20-day moving average (MA) of 71.28, below the 50-day MA of 71.51, and below the 200-day MA of 62.75, indicating a bearish trend. The MACD of -3.33 indicates Positive momentum. The RSI at 33.77 is Neutral, neither overbought nor oversold. The STOCH value of 11.85 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
SKIS.B	65 Neutral	kr13.48B	-8.43	16.20%	1.79%	1.80%	28.19%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
MIPS	59 Neutral	kr6.29B	78.02	23.68%	1.85%	23.02%	32.69%
BILI.A	58 Neutral	kr11.30B	13.69	15.46%	4.43%	3.59%	0.80%
DOM	56 Neutral	kr8.89B	34.98	―	2.85%	-13.49%	60.49%
NEWA.B	52 Neutral	kr12.31B	19.42	12.33%	3.12%	2.80%	-8.84%
ELUX.B	47 Neutral	kr16.85B	19.65	6.30%	―	0.24%	―

Electrolux AB Corporate Events

Electrolux posts 2025 growth, unveils new strategy and boosts sustainability performance

Electrolux has published its 2025 annual report, showing organic sales growth of 3.9% driven mainly by North and Latin America and an improved operating income of SEK 3.7 billion, yielding a 2.8% margin despite tariff and currency headwinds. Cost-efficiency measures added SEK 4.0 billion to earnings, and the company maintained disciplined cash and capital expenditure management to support margins and cash generation.

The group unveiled a new vision to lead the home appliance industry in consumer satisfaction and a renewed four-pillar strategy focused on consumer preference, lifetime value creation, cost leadership and cash generation. Sustainability performance also advanced, with resource-efficient products making up a growing share of sales and profits, substantial cuts in Scope 1, 2 and 3 emissions, high use of renewable energy, increased recycled materials in production and strong health and safety results across operations.

The most recent analyst rating on ($SE:ELUX.B) stock is a Hold with a SEK88.00 price target. To see the full list of analyst forecasts on Electrolux AB stock, see the SE:ELUX.B Stock Forecast page.

Electrolux Calls 2026 AGM, Expands Access With Postal Voting

Electrolux has called its shareholders to attend the Annual General Meeting in Stockholm on March 25, 2026, offering participation either in person at its headquarters or via postal voting, with the event also webcast and translated into English. The meeting’s agenda covers standard corporate governance items, including approval of financial statements, discharge of liability for the board and CEO for 2025, decisions on profit allocation, and determination of board size and fees, underscoring the company’s regular governance cycle and shareholder engagement.

Shareholders must be recorded in the Euroclear Sweden share register by March 17, 2026, and complete registration or postal voting procedures by March 19, 2026, with special rules applying to nominee-registered holdings. The detailed instructions on proxies, voting rights registration and postal voting reflect Electrolux’s effort to facilitate broad participation, aligning its governance practices with modern expectations for accessibility and transparency in a large, internationally held Swedish issuer.

The most recent analyst rating on ($SE:ELUX.B) stock is a Hold with a SEK89.00 price target. To see the full list of analyst forecasts on Electrolux AB stock, see the SE:ELUX.B Stock Forecast page.

Electrolux boosts earnings and cash flow in 2025 but withholds dividend amid tariff and market headwinds

Electrolux AB reported full-year 2025 results showing improved profitability despite lower net sales, as aggressive cost-efficiency measures and stronger volumes in focus product categories offset pricing pressure and negative external factors, including higher U.S. tariffs and currency headwinds. Operating income and margins rose sharply, cash flow and leverage improved, and the group gained market share in Europe and North America, but the board opted to suspend the dividend for 2025, while management signaled further structural changes and continued cost savings and innovation investments in 2026 to navigate promotional markets and tariff-driven uncertainty.

The most recent analyst rating on ($SE:ELUX.B) stock is a Hold with a SEK64.00 price target. To see the full list of analyst forecasts on Electrolux AB stock, see the SE:ELUX.B Stock Forecast page.

Electrolux Nominates Anko van der Werff and Lena Glader to Strengthen Board

Electrolux’s Nomination Committee has proposed the election of SAS AB President and CEO Anko van der Werff and Storskogen Group CFO Lena Glader to the Board of Directors at the company’s Annual General Meeting on 25 March 2026, while current director David Porter has declined re‑election. Van der Werff is expected to strengthen the Board with his international leadership and transformation experience from a competitive, change-driven industry, and Glader is set to add deep financial and capital-market expertise; together with the proposed re‑election of eight existing directors and Chair Torbjörn Lööf, the Board would comprise ten ordinary members, signaling continuity in governance alongside targeted reinforcement of strategic and financial capabilities.

The most recent analyst rating on ($SE:ELUX.B) stock is a Sell with a SEK61.00 price target. To see the full list of analyst forecasts on Electrolux AB stock, see the SE:ELUX.B Stock Forecast page.