Munters Group AB (MTRS) AI Stock Analysis

• Market Cap: $23.60B
• Dividend Yield: 1.12%
• Average Volume (3M): 280.12K
• Price to Earnings (P/E): 64.1
• Beta (1Y): 1.32
• Revenue Growth: 6.17%
• EPS Growth: -57.37%
• Country: SE
• Employees: 4,999
• Sector: Industrials
• Sector Strength: 80
• Industry: Industrial - Pollution & Treatment Controls
• EPS (TTM): 0.97
• Shares Outstanding: 184,457,810
• 10 Day Avg. Volume: 215,888
• 30 Day Avg. Volume: 280,117
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.35
• Enterprise Value/Revenue: 2.06
• Enterprise Value/Gross Profit: 6.20
• Enterprise Value/Ebitda: 13.59
• 1Y Price Target: $146.74
• Price Target Upside: 20.57% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 4

• Rating: 57 Neutral
• Price Target: kr136.00 ▲(11.75% Upside)

Munters Group AB's overall stock score is primarily influenced by its mixed financial performance and technical analysis. The company's operational challenges and increased leverage are significant concerns. Additionally, the stock's technical indicators suggest a lack of strong upward momentum. The high P/E ratio indicates potential overvaluation, further impacting the overall score.

Positive Factors

Digital Transformation

With a clear roadmap and accelerating ARR, the company appears well-positioned to capitalize on the digital transformation.

Expansion and Sustainability

Munters announced the opening of its new 430,000 square foot facility in Amesbury, Massachusetts, marking a significant milestone in its North American growth strategy.

Strategic Growth

Munters' strategic shift following the divestment of its legacy equipment operations suggests a focus on growth and innovation.

Negative Factors

Competition

Munters shares fell ~7% after AWS unveiled its proprietary IRHX cooling system.

Earnings Performance

Net sales of SEK 3,606m missed consensus by 3%, primarily due to continued weakness in AirTech, which saw a 12% y-o-y decline.

Market Sentiment

The stock's decline is viewed as sentiment driven, presenting a buying opportunity if Munters executes on its roadmap.

Munters Group AB Business Overview & Revenue Model

Company Description

Munters Group AB (publ) provides climate solutions for customers in Sweden and internationally. It offers air intakes/air inlets, combined temperature and humidity control products, dehumidifiers, heat exchangers, mass transfer solutions and equipment, pollution control and VOC abatements, climate and irrigation controllers for agriculture, coolers and humidifiers, fans and light traps, heaters, and mist eliminators. The company also provides installation support, start-up and commissioning, service agreement and maintenance, training, and rental solutions, as well as rotor performance check, reconditioning and repair, spare parts, controls upgrade, rotor replacement, munters rotor energy recovery, and fan motor upgrade services. It serves agriculture, automotive, battery dry rooms, chemical processing, construction, data centers, defense and aerospace, electronics, food and beverage, general industry/production, greenhouse, healthcare, pharmaceutical, power generation and distribution, recreation and leisure, shipbuilding and marine, steel, temporary structures, and water and wastewater; oil, gas, and petroleum; pulp, paper, and printing; and storage, preservation, and archives industries. Munters Group AB (publ) was founded in 1955 and is headquartered in Kista, Sweden.

How the Company Makes Money

Munters generates revenue through the sale of its climate control products and systems, which are utilized in a variety of industries such as food storage, pharmaceuticals, and data centers. The company has a multi-faceted revenue model that includes direct sales of equipment, installation services, and maintenance contracts. Key revenue streams come from both new installations and ongoing service agreements, ensuring a steady income from existing customers. Additionally, Munters benefits from strategic partnerships with other technology providers and industry players, which enhance its product offerings and expand its market reach. The growing demand for energy-efficient solutions and climate control technologies also contributes to the company's earnings.

Munters Group AB Financial Statement Overview

Summary

Munters Group AB exhibits a mixed financial performance. Stable gross profit margins are overshadowed by declining revenue growth and profitability margins, indicating operational challenges. Increased leverage on the balance sheet poses potential risks, and cash flow concerns are evident with declining free cash flow growth, suggesting the need for improved cash management strategies.

Income Statement

Munters Group AB shows a mixed performance in its income statement. The TTM data indicates a slight decline in revenue growth at -1.18%, contrasting with positive growth in previous years. Gross profit margin remains stable at around 33%, but the net profit margin has decreased to 2.38% in TTM from 6.30% in 2024, indicating pressure on profitability. EBIT and EBITDA margins also show a slight decline, suggesting operational challenges.

Balance Sheet

The balance sheet reflects a moderate level of leverage with a debt-to-equity ratio of 1.64 in TTM, up from 1.29 in 2024. This increase in leverage could pose a risk if not managed carefully. Return on equity has decreased to 6.77% in TTM from 16.51% in 2024, indicating reduced efficiency in generating returns from equity. The equity ratio remains stable, suggesting a balanced asset structure.

Cash Flow

Cash flow analysis reveals a significant decline in free cash flow growth at -48% in TTM, indicating potential liquidity concerns. The operating cash flow to net income ratio is relatively low at 0.22, suggesting limited cash conversion efficiency. The free cash flow to net income ratio has also decreased, highlighting challenges in maintaining cash flow stability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	15.45B	15.45B	13.93B	10.39B	7.35B	7.01B
Gross Profit	5.12B	5.32B	4.42B	3.02B	2.35B	2.35B
EBITDA	2.34B	2.50B	2.11B	1.28B	1.07B	1.01B
Net Income	368.00M	973.00M	784.00M	577.00M	513.00M	420.00M
Balance Sheet
Total Assets	20.25B	21.98B	16.73B	15.42B	10.74B	9.57B
Cash, Cash Equivalents and Short-Term Investments	1.65B	1.53B	1.53B	914.00M	674.00M	970.00M
Total Debt	8.20B	7.60B	5.85B	4.50B	2.75B	2.79B
Total Liabilities	15.23B	16.07B	11.47B	10.11B	6.38B	5.82B
Stockholders Equity	5.00B	5.89B	5.26B	5.30B	4.36B	3.75B
Cash Flow
Free Cash Flow	675.00M	1.31B	396.00M	233.00M	177.00M	760.00M
Operating Cash Flow	1.75B	2.37B	1.07B	772.00M	519.00M	977.00M
Investing Cash Flow	-2.51B	-2.87B	-1.42B	-1.33B	-341.00M	-209.00M
Financing Cash Flow	684.00M	467.00M	1.01B	743.00M	-503.00M	-481.00M

Munters Group AB Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 121.70
• 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:MTRS, the sentiment is Negative. The current price of 121.7 is below the 20-day moving average (MA) of 134.13, below the 50-day MA of 133.69, and below the 200-day MA of 143.78, indicating a bearish trend. The MACD of -1.81 indicates Positive momentum. The RSI at 34.20 is Neutral, neither overbought nor oversold. The STOCH value of 4.03 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:MTRS.

Munters Group AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	64 Neutral	$10.74B	15.62	8.14%	2.00%	2.79%	-14.82%
MTRS	57 Neutral	$23.60B	64.09	14.56%	1.12%	6.17%	-57.37%
0MWK	―	kr16.06B	53.41	4.25%	―	―	―
52SA	―	€1.63B	27.52	11.86%	―	―	―
2GP	―	€1.52B	23.34	9.98%	―	―	―
29B0	―	€1.62B	29.60	15.89%	―	―	―
NMAN	64 Neutral	kr5.89B	20.54		2.42%	-0.99%	-18.07%

Munters Group AB Corporate Events

Munters Group AB Reports Strong Growth and Strategic Focus in H1 2025

Munters Group AB reported solid growth in the first half of 2025, with a 22% increase in order intake and an 11% rise in net sales, despite currency headwinds. The company completed the divestment of its FoodTech Equipment offering, enhancing its strategic focus on digital solutions. While the adjusted EBITA margin declined due to lower volumes in AirTech and unfavorable product mix, strong performance in Data Center Technologies and FoodTech supported overall profitability. The company also issued its inaugural green bonds to finance sustainable investments, reflecting its commitment to long-term growth and value creation for stakeholders.

The most recent analyst rating on (SE:MTRS) stock is a Hold with a SEK250.00 price target. To see the full list of analyst forecasts on Munters Group AB stock, see the SE:MTRS Stock Forecast page.

Munters Group AB Annual General Meeting Resolutions

At the annual general meeting of Munters Group AB, key resolutions included the adoption of the 2024 financial statements, approval of a SEK 1.60 per share dividend, and re-election of board members and auditors. The meeting also authorized the Board to issue new shares and manage the company’s own shares, reflecting strategic flexibility for future growth.

The most recent analyst rating on (SE:MTRS) stock is a Buy with a SEK210.00 price target. To see the full list of analyst forecasts on Munters Group AB stock, see the SE:MTRS Stock Forecast page.