Electrolux AB (ELUX.B) AI Stock Analysis

• Market Cap: kr18.55B
• Dividend Yield: N/A
• Average Volume (3M): 1.77M
• Price to Earnings (P/E): 33.0
• Beta (1Y): 1.25
• 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): 0.71
• Shares Outstanding: 274,885,600
• 10 Day Avg. Volume: 1,275,765
• 30 Day Avg. Volume: 1,768,690
• PEG Ratio: 0.24
• Price to Book (P/B): 2.55
• Price to Sales (P/S): 0.18
• P/FCF Ratio: -55.02
• 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: kr71.42
• Price Target Upside: 4.05% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 47 Neutral
• Price Target: kr68.00 ▼(-0.93% Downside)

Electrolux's overall stock score is primarily impacted by its weak financial performance, characterized by declining revenues and high leverage. While the earnings call provided some positive insights into sales growth and cost efficiency, these are overshadowed by valuation concerns and technical indicators that suggest a lack of strong momentum. The absence of a dividend yield further limits its attractiveness.

Positive Factors

Market Position & Brands

Sustained market share gains across multiple regions and strong global brands indicate durable competitive positioning. This supports long-term revenue resilience via channel access, retailer shelf space and brand loyalty, helping defend volumes and pricing even in softer demand cycles.

Cost Efficiency Program

A multiyear cost-savings program driven by product redesign and sourcing is reducing structural costs. Realized savings improve sustainable margins, free up cash for reinvestment in innovation and marketing, and increase competitiveness versus peers on both price and profitability.

Liquidity & Cash Flow Recovery

Recent positive operating cash flow and a substantial liquidity buffer enhance the firm's ability to service debt, fund capex and R&D, and absorb cyclical shocks. A commitment to investment-grade discipline supports long-term access to capital markets and financial flexibility.

Negative Factors

High Leverage

Extremely high leverage and a low equity ratio reduce financial flexibility and raise refinancing and interest-rate risks. This constrains capacity for strategic investments or M&A, increases vulnerability to demand downturns, and can pressure credit metrics over the medium term.

Weak Cash Flow Profile

Persistent negative free cash flow and operating cash flow undermine the company's ability to deleverage, sustain dividends, or fund innovation organically. Even with recent FCF growth, inconsistent cash generation may force higher borrowing or asset disposals, impairing long-term competitiveness.

Declining Revenue & Thin Margins

Stagnant or declining revenues combined with razor-thin operating and net margins point to structural pricing pressure and competitive intensity. Limited profitability reduces reinvestment capacity for R&D and premium product development, risking slower long-term growth and margin recovery.

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 generates revenue primarily through the sale of its home appliances and professional kitchen equipment. Key revenue streams include the sale of large appliances, such as refrigerators and washing machines, as well as small appliances like vacuum cleaners. The company benefits from a diverse geographical presence, with significant sales in Europe, North America, and Asia. Additionally, Electrolux has established partnerships with retailers and distributors, enhancing its market reach and product availability. The brand's commitment to sustainability and innovation also attracts eco-conscious consumers, contributing to sales growth. Furthermore, Electrolux invests in research and development to create smart appliances that integrate with the Internet of Things (IoT), which is expected to generate additional revenue streams as consumer demand for connected home solutions increases.

Electrolux AB Financial Statement Overview

Summary

Electrolux is experiencing financial difficulties with declining revenue, low profitability, high leverage, and cash flow challenges. The income statement, balance sheet, and cash flow scores reflect these issues, indicating a need for operational improvements and a stronger capital structure.

Income Statement

Electrolux's income statement shows a challenging period with declining revenue and profitability. The TTM data indicates a negative revenue growth rate of -0.72%, and the net profit margin is barely positive at 0.10%. While the gross profit margin is 15.99%, the EBIT and EBITDA margins are relatively low at 1.96% and 6.48%, respectively. These figures suggest pressure on profitability and operational efficiency.

Balance Sheet

The balance sheet reveals high leverage with a debt-to-equity ratio of 5.24, indicating significant reliance on debt financing. The return on equity is low at 1.54%, reflecting limited returns for shareholders. The equity ratio stands at 7.34%, suggesting a low proportion of equity in the company's capital structure, which could pose risks in volatile market conditions.

Cash Flow

Electrolux's cash flow statement highlights significant challenges, with negative free cash flow and operating cash flow in the TTM period. The free cash flow to net income ratio is -3.39, indicating cash flow issues relative to earnings. Despite a 21.36% growth in free cash flow, the overall cash flow position remains weak, raising concerns about liquidity and financial flexibility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	332.91B	136.15B	134.45B	134.88B	125.63B	115.96B
Gross Profit	54.61B	20.30B	17.14B	17.70B	23.98B	22.27B
EBITDA	22.79B	7.67B	3.22B	5.29B	11.15B	10.20B
Net Income	1.51B	-1.39B	-5.23B	-1.32B	4.68B	3.99B
Balance Sheet
Total Assets	116.00B	125.39B	120.05B	127.10B	107.61B	99.60B
Cash, Cash Equivalents and Short-Term Investments	12.16B	16.34B	15.50B	17.73B	11.09B	20.37B
Total Debt	43.83B	43.63B	40.87B	41.38B	18.82B	18.07B
Total Liabilities	107.48B	115.67B	108.78B	110.65B	89.00B	80.89B
Stockholders Equity	8.51B	9.72B	11.27B	16.44B	18.60B	18.70B
Cash Flow
Free Cash Flow	-7.04B	-451.00M	-1.70B	-9.66B	1.02B	6.59B
Operating Cash Flow	1.10B	4.20B	4.00B	-2.27B	7.06B	11.93B
Investing Cash Flow	-6.86B	-4.28B	-4.36B	-6.96B	-6.82B	-5.12B
Financing Cash Flow	1.66B	1.27B	-1.55B	15.60B	-9.79B	2.02B

Electrolux AB Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 68.64
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:ELUX.B, the sentiment is Positive. The current price of 68.64 is above the 20-day moving average (MA) of 63.95, above the 50-day MA of 60.84, and above the 200-day MA of 61.79, indicating a bullish trend. The MACD of 1.82 indicates Negative momentum. The RSI at 68.43 is Neutral, neither overbought nor oversold. The STOCH value of 81.84 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SE:ELUX.B.

Electrolux AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MIPS	72 Outperform	kr8.75B	63.39	23.68%	1.85%	23.02%	32.69%
BILI.A	69 Neutral	kr11.86B	16.59	15.18%	4.43%	3.59%	0.80%
NEWA.B	66 Neutral	kr15.50B	18.84	12.33%	3.12%	2.80%	-8.84%
SKIS.B	65 Neutral	kr12.90B	22.64	16.20%	1.79%	1.80%	28.19%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
DOM	48 Neutral	kr15.67B	-34.36	―	2.85%	-13.49%	60.49%
ELUX.B	47 Neutral	kr18.55B	33.02	6.30%	―	0.24%	―

Electrolux AB Corporate Events

Electrolux Group Unveils Updated Strategy and Reaffirms Financial Targets

Electrolux Group hosted a Capital Markets Update to present its updated strategy, emphasizing organic sales growth and financial targets. The strategy focuses on strengthening core brands, expanding in key markets, and enhancing cost efficiency, with a commitment to sustainability and a new organizational structure for increased consumer centricity.

The most recent analyst rating on ($SE:ELUX.B) stock is a Hold with a SEK57.00 price target. To see the full list of analyst forecasts on Electrolux AB stock, see the SE:ELUX.B Stock Forecast page.

Electrolux Reports Improved Operating Income Amid Market Challenges

Electrolux AB reported a net sales decline to SEK 32,318 million in Q3 2025, with organic sales growth driven by North America. Operating income improved significantly to SEK 890 million, despite challenges such as U.S. tariffs and currency headwinds. The company announced organizational changes to strengthen customer focus in the Asia-Pacific region and revised its full-year capital expenditure outlook to SEK 3.5-4 billion. Despite competitive pressures, Electrolux continues to prioritize cost efficiency and innovation, with new product launches supporting market share gains.

The most recent analyst rating on ($SE:ELUX.B) stock is a Hold with a SEK55.00 price target. To see the full list of analyst forecasts on Electrolux AB stock, see the SE:ELUX.B Stock Forecast page.

Electrolux Group Announces Capital Markets Update Event

Electrolux Group has announced a Capital Markets Update event scheduled for December 4, 2025, at its headquarters in Stockholm, Sweden. The event will provide insights into the company’s strategy and future priorities, featuring presentations by the CEO and management team, and will be accessible both in-person and via a live webcast.

The most recent analyst rating on ($SE:ELUX.B) stock is a Hold with a SEK55.00 price target. To see the full list of analyst forecasts on Electrolux AB stock, see the SE:ELUX.B Stock Forecast page.