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Hexagon AB (UK) (SE:HEXA.B)
:HEXA.B
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Hexagon AB (HEXA.B) AI Stock Analysis

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SE:HEXA.B

Hexagon AB

(LSE:HEXA.B)

Rating:70Outperform
Price Target:
kr106.00
▲(1.73%Upside)
Hexagon AB's overall score reflects its strong financial performance with robust profitability and efficient cash flow management. While the technical analysis indicates a neutral momentum, the company's valuation is supported by a strong dividend yield, making it attractive to income investors despite moderate revenue growth.

Hexagon AB (HEXA.B) vs. iShares MSCI Sweden ETF (EWD)

Hexagon AB Business Overview & Revenue Model

Company DescriptionHexagon AB (publ) provides information technology solutions for geospatial and industrial applications worldwide. The company operates through two segments, Industrial Enterprise Solutions (IES) and Geospatial Enterprise Solutions (GIS). The IES segment offers metrology systems that incorporate the in-sensor technology for measurements, as well as computer-aided design, computer-aided manufacturing, and computer-aided engineering software. Its solutions include coordinate measuring machines, laser trackers and scanners, industrial metrology software, and operations management solutions. This segment's solutions are used in electronics and manufacturing, power and energy, automotive, aerospace and defense, and other industries. The GIS segment provides sensors for capturing data from land and air, as well as for positioning through satellites; and GIS software for the creation of 3D maps and models, which are used for decision-making in various software applications covering areas comprising surveying, construction, public safety, and agriculture. Its solutions comprise laser scanner, airborne camera, unmanned aerial vehicle, mobile mapping technology, and precise positioning solutions. This segment's solutions are used in surveying, infrastructure and construction, natural resources, public safety, aerospace and defense, and other industries. The company was formerly known as Eken Industri & Handel AB and changed its name to Hexagon AB (publ) in 1993. Hexagon AB (publ) was incorporated in 1975 and is headquartered in Stockholm, Sweden.
How the Company Makes MoneyHexagon AB generates revenue primarily through the sale of its advanced hardware and software solutions, which are designed to improve operational efficiency and productivity for its clients across various industries. Key revenue streams include the sale of geospatial and industrial enterprise solutions, recurring revenue from software licensing and maintenance services, and professional services such as consulting and training. Significant partnerships with industry leaders and continued investments in R&D also bolster Hexagon's revenue potential by expanding its technological capabilities and market reach.

Hexagon AB Financial Statement Overview

Summary
Hexagon AB exhibits strong financial health characterized by robust profitability, a solid balance sheet with low leverage, and consistent cash flow generation. The company maintains strong profit margins and effective resource management. However, moderate revenue growth suggests potential for market expansion.
Income Statement
85
Very Positive
Hexagon AB demonstrates strong profitability with a gross profit margin of 67.0% and a net profit margin of 18.0% for TTM (Trailing-Twelve-Months). The EBIT margin is also robust at 25.1%. Although revenue growth has been moderate, the company maintains solid EBITDA margins, reflecting efficient cost management.
Balance Sheet
82
Very Positive
The company maintains a healthy balance sheet with a debt-to-equity ratio of 0.37, indicating low leverage relative to equity, and an equity ratio of 61.7%, showing a strong equity base. Return on equity is satisfactory at 8.9%, suggesting effective utilization of equity to generate profits.
Cash Flow
80
Positive
Hexagon AB shows consistent free cash flow generation with a recent growth rate of 3.6%. The operating cash flow to net income ratio is 1.66, highlighting strong cash conversion from profits. While free cash flow to net income ratio stands at 1.02, reflecting adequate coverage of net income by free cash flow.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue5.40B5.44B5.16B4.34B3.76B
Gross Profit3.61B3.54B3.36B2.80B2.37B
EBITDA2.01B1.78B1.75B1.58B1.32B
Net Income1.02B858.90M1.01B801.60M618.10M
Balance Sheet
Total Assets17.85B16.88B16.48B14.10B10.70B
Cash, Cash Equivalents and Short-Term Investments663.80M547.10M486.30M472.10M397.40M
Total Debt3.83B4.08B3.87B2.94B2.65B
Total Liabilities6.65B6.84B6.61B5.33B4.75B
Stockholders Equity11.16B10.01B9.83B8.73B5.93B
Cash Flow
Free Cash Flow955.90M743.80M763.30M898.70M909.90M
Operating Cash Flow1.59B1.37B1.33B1.32B1.30B
Investing Cash Flow-710.10M-1.03B-1.80B-1.17B-1.18B
Financing Cash Flow-764.10M-249.30M493.30M-86.50M-188.70M

Hexagon AB Technical Analysis

Technical Analysis Sentiment
Positive
Last Price104.20
Price Trends
50DMA
97.12
Positive
100DMA
99.55
Positive
200DMA
103.26
Positive
Market Momentum
MACD
2.19
Negative
RSI
68.56
Neutral
STOCH
77.57
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:HEXA.B, the sentiment is Positive. The current price of 104.2 is above the 20-day moving average (MA) of 98.78, above the 50-day MA of 97.12, and above the 200-day MA of 103.26, indicating a bullish trend. The MACD of 2.19 indicates Negative momentum. The RSI at 68.56 is Neutral, neither overbought nor oversold. The STOCH value of 77.57 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SE:HEXA.B.

Hexagon AB Peers Comparison

Overall Rating
UnderperformOutperform
Sector (66)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
70
Outperform
kr279.71B25.099.32%0.02%-1.12%14.34%
66
Neutral
CHF6.98B25.2914.57%2.27%-1.22%-29.90%
kr243.58B13.8920.29%3.88%
€379.49M11.579.42%
€506.19M20.8516.64%4.01%
€1.32B59.3927.03%0.71%
€4.19B44.6227.70%0.81%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
SE:HEXA.B
Hexagon AB
104.20
-4.91
-4.50%
GB:0O87
Telefonaktiebolaget LM Ericsson Class B
72.91
4.56
6.67%
DE:02H0
Hexatronic Group AB
1.86
-3.11
-62.58%
DE:NQA
NOTE AB
16.67
4.93
41.99%
DE:ICQ
INVISIO AB
28.85
7.97
38.17%
DE:LG72
Lagercrantz Group AB Class B
20.38
5.17
33.99%

Hexagon AB Corporate Events

Hexagon Appoints Anders Svensson as New CEO
Jul 21, 2025

Hexagon AB has appointed Anders Svensson as its new President and CEO, effective 20 July 2025. Svensson, who brings over 15 years of leadership experience in industrial technology and engineering, aims to leverage Hexagon’s strong legacy to capture growth opportunities in areas like autonomy, robotics, and AI. This leadership change is expected to strengthen Hexagon’s market position and drive further profitable growth.

The most recent analyst rating on ($SE:HEXA.B) stock is a Buy with a SEK135.00 price target. To see the full list of analyst forecasts on Hexagon AB stock, see the SE:HEXA.B Stock Forecast page.

Hexagon AB AGM Highlights Strategic Initiatives for Growth
May 6, 2025

Hexagon AB’s Annual General Meeting resulted in the re-election of key board members and the introduction of a new performance-based long-term share program aimed at enhancing company earnings. The AGM also authorized the board to manage acquisitions and share transfers to optimize capital structure and shareholder value, reflecting a strategic focus on growth and operational efficiency.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 03, 2025