NCC AB Class A (NCC.A) AI Stock Analysis

• Market Cap: kr16.91B
• Dividend Yield: 4.46%
• Average Volume (3M): 2.63K
• Price to Earnings (P/E): 12.2
• Beta (1Y): 0.75
• Revenue Growth: 9.10%
• EPS Growth: 15.11%
• Country: SE
• Employees: 11,381
• Sector: Consumer Defensive
• Sector Strength: 63
• Industry: Engineering & Construction
• EPS (TTM): -1.38
• Shares Outstanding: 6,797,667
• 10 Day Avg. Volume: 2,759
• 30 Day Avg. Volume: 2,625
• PEG Ratio: -4.16
• Price to Book (P/B): 2.19
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 4.66
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 73 Outperform
• Price Target: ―

NCC AB Class A's overall stock score reflects its strong financial performance, characterized by robust revenue growth, a debt-free balance sheet, and improved cash flow. While the stock is currently trading below key moving averages, suggesting potential caution in the near term, its attractive valuation with a low P/E ratio and high dividend yield adds to its investment appeal. The absence of recent earnings call data and notable corporate events means the score is primarily driven by financial stability and valuation factors.

NCC AB Class A Business Overview & Revenue Model

Company Description

NCC AB Class A (NCC.A) is a leading construction and development company based in Sweden, operating primarily in the Nordic region. The company engages in building and infrastructure construction, as well as property development. Its core services include residential and commercial building projects, civil engineering, and infrastructure development, such as roads and bridges. NCC also focuses on sustainable construction practices and innovative solutions to meet the growing demand for eco-friendly developments.

How the Company Makes Money

NCC AB generates revenue through a diverse portfolio of construction and property development activities. The company's primary revenue streams come from contracts for building residential and commercial properties, as well as infrastructure projects. NCC also earns income from the sale of developed properties and rental income from properties within its real estate portfolio. Strategic partnerships with government entities, private sector clients, and stakeholders in the construction industry enhance its project pipeline and market reach. Additionally, NCC's commitment to sustainable construction and innovation provides a competitive edge in securing lucrative contracts, contributing significantly to its earnings.

NCC AB Class A Financial Statement Overview

Summary

NCC AB Class A demonstrates solid financial health with strong revenue and profit growth, a robust balance sheet with no debt, and significant improvement in cash flow generation. These factors position the company well for future growth opportunities. However, maintaining momentum in cash flow generation and enhancing net profit margins could further strengthen its financial position.

Income Statement

NCC AB Class A has demonstrated strong revenue growth, increasing from SEK 54.2 billion in 2022 to SEK 61.6 billion in 2023, marking an 8.2% growth rate. The gross profit margin improved to 8.57% in 2023. Net profit margin remained stable at around 2.55%. Both EBIT and EBITDA margins show positive trends, indicating efficient cost management and operational performance.

Balance Sheet

The company shows a strong balance sheet with a notable increase in stockholders' equity to SEK 8.66 billion in 2023. The company has eliminated total debt, leading to a debt-to-equity ratio of 0, which significantly strengthens its financial stability. The equity ratio improved to 27.05%, reflecting a solid capital structure.

Cash Flow

NCC AB Class A's free cash flow grew significantly from SEK 99 million in 2022 to SEK 3.94 billion in 2023, driven by robust operating cash flow. The operating cash flow to net income ratio is strong, indicating efficient cash generation relative to its earnings. However, the free cash flow to net income ratio could suggest room for improvement in cash utilization.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
61.13B	61.61B	56.93B	54.20B	53.41B	53.92B
	Gross Profit
5.22B	5.28B	4.69B	4.00B	4.52B	4.33B
	EBIT
1.96B	2.03B	1.80B	1.36B	1.82B	1.36B
	EBITDA
3.00B	3.38B	3.19B	2.35B	3.14B	2.79B
	Net Income Common Stockholders
1.53B	1.57B	1.57B	1.07B	1.51B	1.26B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
2.64B	3.72B	1.41B	1.00B	3.48B	2.62B
	Total Assets
30.57B	32.03B	31.95B	29.57B	29.42B	28.55B
	Total Debt
4.97B	0.00	5.29B	4.30B	4.21B	4.57B
	Net Debt
2.95B	2.17B	4.59B	3.77B	1.65B	2.42B
	Total Liabilities
0.00	23.36B	24.63B	22.38B	23.58B	24.58B
	Stockholders Equity
7.97B	8.66B	7.32B	7.18B	5.84B	3.97B
Cash Flow		Free Cash Flow
3.48B	3.94B	99.00M	-707.00M	1.49B	944.00M
	Operating Cash Flow
4.09B	4.64B	807.00M	265.00M	2.26B	1.57B
	Investing Cash Flow
-569.00M	-647.00M	-446.00M	-401.00M	-363.00M	-463.00M
	Financing Cash Flow
-2.07B	-1.79B	-187.00M	-1.90B	-1.49B	-1.32B

NCC AB Class A Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 190.50
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:NCC.A, the sentiment is Positive. The current price of 190.5 is above the 20-day moving average (MA) of 184.30, above the 50-day MA of 179.90, and above the 200-day MA of 167.03, indicating a bullish trend. The MACD of 2.68 indicates Negative momentum. The RSI at 58.97 is Neutral, neither overbought nor oversold. The STOCH value of 74.31 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SE:NCC.A.

NCC AB Class A Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SKA.B	80 Outperform	kr95.56B	15.40	10.49%	3.46%	9.67%	26.69%
SWEC.B	75 Outperform	kr59.05B	27.57	18.38%	1.97%	6.59%	34.58%
PEAB.B	74 Outperform	kr24.19B	11.42	13.64%	3.67%	0.98%	5.01%
NCC.A	73 Outperform	kr16.91B	12.18		4.46%	9.10%	15.11%
LIAB	68 Neutral	kr16.50B	48.37	4.65%	2.51%	2.71%	-56.45%
NCC.B	67 Neutral	kr16.91B	12.16	19.89%	4.47%	9.10%	15.11%
Sector *	65 Neutral	$8.89B	15.01	4.75%	203.76%	3.54%	-2.49%