Granges AB (GRNG) AI Stock Analysis

• Market Cap: kr13.84B
• Dividend Yield: 2.38%
• Average Volume (3M): 208.25K
• Price to Earnings (P/E): 13.5
• Beta (1Y): 0.91
• Revenue Growth: 15.17%
• EPS Growth: 3.32%
• Country: SE
• Employees: 3,425
• Sector: Basic Materials
• Sector Strength: 68
• Industry: Aluminum
• EPS (TTM): 9.65
• Shares Outstanding: 106,308,620
• 10 Day Avg. Volume: 350,890
• 30 Day Avg. Volume: 208,254
• PEG Ratio: -0.97
• Price to Book (P/B): 1.73
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -50.15
• 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: kr155.00
• Price Target Upside: 19.05% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 74 Outperform
• Price Target: kr139.00 ▲(6.76%Upside)

Granges AB's overall stock score is driven primarily by strong financial performance and attractive valuation. Technical analysis suggests stable but cautious conditions. The lack of earnings call and corporate events data did not influence the score.

Granges AB Business Overview & Revenue Model

Company Description

Gränges AB is a leading global supplier of rolled aluminum products for heat exchanger applications and other niche markets. Founded in Sweden, the company operates across several sectors, including automotive, HVAC, and packaging industries. Gränges is renowned for its advanced materials technology and engineering capabilities, providing customers with innovative, high-performance aluminum solutions.

How the Company Makes Money

Gränges AB generates revenue primarily through the manufacturing and sale of rolled aluminum products. The company's key revenue streams include supplying aluminum materials for the automotive industry, particularly for heat exchangers used in vehicles, as well as for HVAC systems and industrial applications. Gränges leverages its technical expertise and innovative solutions to maintain long-term contracts with major manufacturers, ensuring a steady flow of income. Additionally, the company benefits from strategic partnerships with suppliers and customers, which enhance its market presence and operational efficiency. Factors such as global demand for lightweight, energy-efficient materials, and advancements in automotive technology significantly contribute to Gränges' earnings.

Granges AB Financial Statement Overview

Summary

Granges AB exhibits strong revenue growth and solid profitability, supported by a healthy balance sheet. Income statement and balance sheet indicate financial strength, while cash flow statement highlights the need for improved free cash flow generation.

Income Statement

Granges AB shows a strong income statement with consistent revenue growth and healthy margins. The TTM (Trailing-Twelve-Months) gross profit margin is 32.65%, and the net profit margin is 4.05%. Revenue growth from the previous year is robust at 7.70%. Both EBIT and EBITDA margins are solid at 6.23% and 9.98%, respectively, indicating operational efficiency.

Balance Sheet

The balance sheet is stable, with a debt-to-equity ratio of 0.54, showing moderate leverage. Return on Equity (ROE) is 10.39%, reflecting effective use of equity. The equity ratio is 46.38%, indicating a strong equity base relative to total assets. Overall, the company maintains a healthy financial position with manageable debt levels.

Cash Flow

Cash flow analysis reveals some challenges, with a negative free cash flow of -801 million in the TTM period. However, the operating cash flow to net income ratio is 0.56, showing decent conversion of income to cash. The company needs to improve its free cash flow generation to ensure sustainable growth.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
25.31B	23.50B	22.52B	24.49B	18.13B	11.01B
	Gross Profit
8.26B	8.02B	7.28B	6.72B	5.34B	4.03B
	EBIT
1.58B	1.52B	1.58B	1.14B	833.00M	584.00M
	EBITDA
2.52B	2.38B	2.39B	1.88B	1.47B	1.14B
	Net Income Common Stockholders
1.03B	1.01B	1.01B	700.00M	595.00M	363.00M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
851.00M	850.00M	461.00M	879.00M	809.00M	1.47B
	Total Assets
21.29B	21.40B	16.69B	17.53B	15.77B	13.65B
	Total Debt
5.34B	5.43B	3.46B	5.01B	4.06B	4.51B
	Net Debt
4.49B	4.58B	3.00B	4.13B	3.25B	3.04B
	Total Liabilities
10.87B	10.56B	7.88B	9.32B	8.84B	7.68B
	Stockholders Equity
9.88B	10.24B	8.81B	8.20B	6.93B	5.97B
Cash Flow		Free Cash Flow
-801.00M	-836.00M	2.06B	109.00M	152.00M	857.00M
	Operating Cash Flow
573.00M	489.00M	3.29B	1.10B	988.00M	1.41B
	Investing Cash Flow
-2.13B	-2.08B	-1.45B	-993.00M	-926.00M	-1.74B
	Financing Cash Flow
1.73B	1.91B	-2.25B	-86.00M	-793.00M	1.15B

Granges AB Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 130.20
• 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:GRNG, the sentiment is Positive. The current price of 130.2 is above the 20-day moving average (MA) of 124.76, above the 50-day MA of 118.30, and above the 200-day MA of 124.74, indicating a bullish trend. The MACD of 1.92 indicates Negative momentum. The RSI at 57.23 is Neutral, neither overbought nor oversold. The STOCH value of 80.61 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SE:GRNG.

Granges AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GRNG	74 Outperform	kr13.84B	13.49	10.64%	2.38%	15.17%	3.32%
BOL	71 Outperform	kr87.00B	7.49	17.43%	2.53%	19.17%	136.96%
SSAB.A	70 Outperform	kr59.41B	11.81	7.27%	4.38%	-11.28%	-56.26%
SCA.B	69 Neutral	kr90.00B	24.66	3.50%	2.36%	16.88%	12.52%
SSAB.B	65 Neutral	kr59.41B	11.66	7.27%	4.44%	-11.28%	-56.26%
STE.A	52 Neutral	kr77.34B	―		62.22%	3.93%	―
Sector *	51 Neutral	$2.04B	-1.15	-21.24%	3.95%	2.91%	-30.44%