Hexpol AB (HPOL.B) AI Stock Analysis

• Market Cap: kr28.36B
• Dividend Yield: 5.04%
• Average Volume (3M): 392.15K
• Price to Earnings (P/E): 13.8
• Beta (1Y): 0.99
• Revenue Growth: -4.96%
• EPS Growth: -17.47%
• Country: SE
• Employees: 4,945
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): 1.56
• Shares Outstanding: 329,671,230
• 10 Day Avg. Volume: 422,485
• 30 Day Avg. Volume: 392,151
• PEG Ratio: -1.33
• Price to Book (P/B): 2.22
• Price to Sales (P/S): 1.73
• P/FCF Ratio: 16.97
• 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: kr100.67
• Price Target Upside: 20.71% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

• Rating: 68 Neutral
• Price Target: kr91.00 ▲(9.11% Upside)

Hexpol AB's overall stock score is driven by its stable financial position and attractive valuation, offering a strong dividend yield. However, the technical analysis indicates bearish momentum, which poses a risk to short-term price performance. The lack of recent earnings call data and corporate events means these factors do not influence the score.

Hexpol AB Business Overview & Revenue Model

Company Description

Hexpol AB is a leading global developer and manufacturer of advanced polymer compounds, gaskets, and wheels for various industrial applications. Headquartered in Sweden, Hexpol operates within the polymer solutions sector and serves a wide range of industries, including automotive, construction, energy, and healthcare. The company is renowned for its high-performance elastomer and thermoplastic solutions, which are tailored to meet the specific needs of its diverse clientele.

How the Company Makes Money

Hexpol AB generates revenue primarily through the sale of its advanced polymer compounds and related products. The company operates multiple production facilities worldwide, allowing it to serve a global customer base efficiently. Key revenue streams include custom polymer formulations and compounds that cater to specific industry requirements, such as those in automotive and healthcare. Additionally, Hexpol benefits from strategic partnerships with major industrial players, enhancing its market reach and operational capabilities. The company's emphasis on innovation and quality, coupled with its global distribution network, plays a significant role in driving sales and maintaining profitability.

Hexpol AB Financial Statement Overview

Summary

Hexpol AB exhibits a strong financial position with stable profitability and effective cash flow management. The balance sheet is robust with low leverage and significant shareholder equity. While revenue growth has faced challenges recently, the company's efficient operations and healthy margins provide a solid foundation for future performance.

Income Statement

Hexpol AB's income statement shows a stable financial performance with a slight decline in revenue over the TTM (Trailing-Twelve-Months) period. The gross profit margin is approximately 21.2%, and the net profit margin is about 10.6%, reflecting solid profitability. However, the revenue growth rate has been negative due to a decrease from the previous period. EBIT and EBITDA margins remain healthy at 15.1% and 17.2%, respectively, indicating efficient operations despite the revenue dip.

Balance Sheet

Hexpol AB maintains a strong balance sheet with a debt-to-equity ratio of 0.25, indicating low leverage. The company exhibits a healthy equity ratio of 62.4%, suggesting a robust capital structure with significant shareholder equity. Return on Equity (ROE) is 14.4%, showcasing effective management in generating returns on invested capital. Overall, the balance sheet reflects financial stability and low financial risk.

Cash Flow

The cash flow statement shows that Hexpol AB has a strong free cash flow position, with a growth rate of 15.97% over the latest period. The operating cash flow to net income ratio is 1.24, indicating that cash generation is strong relative to reported earnings. The free cash flow to net income ratio is 1.12, demonstrating efficient cash utilization. The company manages its cash flows effectively to sustain operations and growth.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	20.05B	20.44B	22.05B	22.24B	16.00B	13.42B
Gross Profit	4.22B	4.37B	4.86B	4.34B	3.47B	2.93B
EBITDA	3.25B	3.83B	4.13B	3.84B	3.54B	2.38B
Net Income	2.05B	2.22B	2.52B	2.48B	2.36B	1.41B
Balance Sheet
Total Assets	24.34B	24.88B	22.51B	23.55B	17.96B	15.07B
Cash, Cash Equivalents and Short-Term Investments	1.12B	1.23B	1.10B	1.54B	1.32B	1.20B
Total Debt	5.60B	3.47B	2.68B	4.39B	2.22B	2.80B
Total Liabilities	10.54B	8.94B	7.93B	9.79B	6.31B	5.94B
Stockholders Equity	13.80B	15.95B	14.58B	13.77B	11.65B	9.13B
Cash Flow
Free Cash Flow	2.31B	2.09B	2.84B	1.93B	2.10B	2.12B
Operating Cash Flow	2.44B	2.70B	3.52B	2.59B	2.41B	2.38B
Investing Cash Flow	-2.47B	-1.50B	-895.00M	-2.17B	-862.00M	-665.00M
Financing Cash Flow	228.00M	-1.28B	-2.95B	104.00M	-1.37B	-1.98B

Hexpol AB Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 83.40
• 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:HPOL.B, the sentiment is Negative. The current price of 83.4 is below the 20-day moving average (MA) of 87.04, below the 50-day MA of 88.90, and below the 200-day MA of 93.35, indicating a bearish trend. The MACD of -2.04 indicates Positive momentum. The RSI at 36.27 is Neutral, neither overbought nor oversold. The STOCH value of 11.23 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:HPOL.B.

Hexpol AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AQ	73 Outperform	€17.90B	27.25	15.38%	0.82%	-1.58%	-1.95%
HPOL.B	68 Neutral	kr28.36B	13.83	14.46%	5.04%	-4.96%	-17.47%
TREL.B	62 Neutral	kr76.54B	22.14	9.31%	2.13%	2.42%	4.02%
FAG	57 Neutral	kr6.90B	30.60	3.14%	3.54%	-9.25%	-56.03%
BERG.B	54 Neutral	€8.51B	40.20	-2.39%	1.16%	6.11%	-124.15%
NEXAM	54 Neutral	€316.38M	―	-7.20%	―	-3.42%	-31.37%
Sector *	44 Neutral	C$864.60M	-6.74	-14.91%	2.77%	16.77%	-26.72%

Hexpol AB Corporate Events

HEXPOL Demonstrates Resilience Amid Global Uncertainties in 2025 Half-Year Report

HEXPOL’s half-year report for 2025 highlights resilience amidst global uncertainties, with a focus on European operations and growth in the Engineered Products segment. Despite challenges in North America due to trade barriers and currency effects, the company maintains solid cash flow and stable raw material prices. The acquisition of Kabkom in Turkey has positively impacted demand, particularly in the building and construction sectors. HEXPOL continues to pursue its acquisition strategy and sustainability goals, aiming for a significant reduction in carbon emissions and increased use of recycled materials. The company plans to present more detailed strategies at its upcoming capital markets day.

The most recent analyst rating on ($SE:HPOL.B) stock is a Hold with a SEK100.00 price target. To see the full list of analyst forecasts on Hexpol AB stock, see the SE:HPOL.B Stock Forecast page.

HEXPOL AB to Release Q2 2025 Interim Report

HEXPOL AB announced it will release its Q2 2025 Interim Report on July 18, 2025, with a presentation by the company’s President and CEO, Klas Dahlberg, and Deputy CEO and CFO, Peter Rosén. The report will be accessible via webcast and teleconference, allowing stakeholders to engage and ask questions, reflecting the company’s commitment to transparency and stakeholder engagement.

The most recent analyst rating on ($SE:HPOL.B) stock is a Hold with a SEK130.00 price target. To see the full list of analyst forecasts on Hexpol AB stock, see the SE:HPOL.B Stock Forecast page.