Investor AB (INVE.B) AI Stock Analysis

• Market Cap: kr895.38B
• Dividend Yield: 1.69%
• Average Volume (3M): 2.44M
• Price to Earnings (P/E): 38.3
• Beta (1Y): 0.99
• Revenue Growth: 3.97%
• EPS Growth: -87.10%
• Country: SE
• Employees: 19,060
• Sector: Financial
• Sector Strength: 75
• Industry: Asset Management
• EPS (TTM): 14.78
• Shares Outstanding: 1,821,936,800
• 10 Day Avg. Volume: 2,109,374
• 30 Day Avg. Volume: 2,438,789
• PEG Ratio: -0.33
• Price to Book (P/B): 1.09
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 62.17
• 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: kr338.00
• Price Target Upside: 15.71% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 72 Outperform
• Price Target: kr315.00 ▲(7.84%Upside)

Investor AB's strong balance sheet and improving cash flow metrics are the primary drivers of its score. The stock's technical indicators suggest a neutral outlook, while its valuation is fair with a moderate dividend yield. Volatility in income statement figures slightly impacts the overall score.

Investor AB Business Overview & Revenue Model

Company Description

Investor AB is a leading investment company based in Sweden, founded in 1916 by the Wallenberg family. The company operates by holding significant stakes in various multinational corporations across multiple sectors such as engineering, healthcare, financial services, and technology. Investor AB is known for its active ownership model, leveraging its expertise to drive growth and long-term value in its portfolio companies.

How the Company Makes Money

Investor AB makes money primarily through its investment activities. The company generates revenue by holding significant equity stakes in a diversified portfolio of public and private companies, benefiting from capital gains, dividends, and other forms of investment income. Its key revenue streams include returns from investments in companies such as Atlas Copco, SEB, ABB, AstraZeneca, and Ericsson. Investor AB's active ownership model involves strategic involvement in its portfolio companies, aiming to enhance their operational performance and profitability, which in turn boosts the value of its investments. Additionally, Investor AB may engage in partnerships or co-investments to expand its investment opportunities, although the specific details of such arrangements may vary.

Investor AB Financial Statement Overview

Summary

Investor AB demonstrates a strong balance sheet with a high equity ratio and no debt, enhancing financial stability. The cash flow is improving, indicating good operational efficiency and cash generation. However, the income statement shows volatility in revenue and profits, which slightly dampens the overall financial performance.

Income Statement

Investor AB has experienced fluctuating revenue with a significant decline in 2022, followed by a recovery in 2023. Gross profit and net income margins are also volatile, with notable losses in 2022 but recovery in subsequent years. The company's EBIT and EBITDA margins are inconsistent due to significant losses in certain periods. The overall income statement reflects moderate profitability with some instability in revenue and profit margins.

Balance Sheet

The balance sheet is strong with a high equity ratio and no debt as of 2024. The company has maintained a healthy stockholders' equity, growing steadily over the years. The debt-to-equity ratio was zero in 2024, indicating no leverage-related risks, and return on equity shows strong profitability, especially in recent years.

Cash Flow

Cash flow from operations has shown recovery after negative figures in 2022, indicating improved operational efficiency. Free cash flow growth is positive, reflecting strong cash generation capabilities. The free cash flow to net income ratio signals good conversion of earnings into cash, although some fluctuations exist.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	168.91B	185.31B	-27.30B	265.34B	88.46B
Gross Profit	168.91B	153.71B	-60.81B	241.01B	64.59B
EBITDA	124.27B	135.83B	-71.11B	232.71B	53.25B
Net Income	113.34B	127.05B	-74.76B	228.06B	52.79B
Balance Sheet
Total Assets	952.09B	838.45B	724.37B	795.54B	571.05B
Cash, Cash Equivalents and Short-Term Investments	17.62B	31.46B	13.16B	18.33B	19.67B
Total Debt	98.94B	89.14B	91.16B	87.11B	86.00B
Total Liabilities	132.34B	121.02B	118.71B	112.04B	108.27B
Stockholders Equity	819.36B	716.77B	604.87B	682.61B	461.84B
Cash Flow
Free Cash Flow	19.16B	17.25B	-79.13B	10.46B	8.19B
Operating Cash Flow	23.58B	20.97B	-74.76B	14.26B	10.97B
Investing Cash Flow	-11.06B	399.00M	-7.46B	-2.77B	-17.74B
Financing Cash Flow	-14.57B	-15.43B	-15.10B	-13.17B	7.40B

Investor AB Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 292.10
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:INVE.B, the sentiment is Positive. The current price of 292.1 is above the 20-day moving average (MA) of 287.24, above the 50-day MA of 284.44, and below the 200-day MA of 294.24, indicating a neutral trend. The MACD of 2.74 indicates Negative momentum. The RSI at 58.15 is Neutral, neither overbought nor oversold. The STOCH value of 58.80 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SE:INVE.B.

Investor AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
INVE.B	72 Outperform	kr895.38B	38.29	2.79%	1.69%	3.97%	-87.10%
LUND.B	66 Neutral	kr122.02B	23.80	4.47%	0.93%	18.94%	-40.44%
Sector *	65 Neutral	kr117.44B	27.69	6.10%	3.26%	14.35%	-15.23%
BURE	64 Neutral	kr22.23B	191.63	0.27%	0.92%	13.61%	-97.82%
INDU.C	63 Neutral	kr161.18B	12.29	8.17%	2.21%	10.96%	-41.98%
KINV.A	56 Neutral	kr25.67B	―		―	-95.90%	27.54%
INDU.A	54 Neutral	kr161.18B	12.29	8.17%	2.21%	-49.11%	-87.67%