Nelly Group AB (NELLY) AI Stock Analysis

• Market Cap: €1.71B
• Dividend Yield: N/A
• Average Volume (3M): 67.99K
• Price to Earnings (P/E): 13.5
• Beta (1Y): 0.81
• Revenue Growth: 8.68%
• EPS Growth: 137.29%
• Country: SE
• Employees: 145
• Sector: Consumer Cyclical
• Sector Strength: 69
• Industry: Specialty Retail
• EPS (TTM): 1.75
• Shares Outstanding: 30,026,125
• 10 Day Avg. Volume: 109,536
• 30 Day Avg. Volume: 67,990
• PEG Ratio: 0.78
• Price to Book (P/B): 6.78
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 12.65
• 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: €51.97
• Price Target Upside: -8.98% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 71 Outperform
• Price Target: kr63.00 ▲(10.33%Upside)

Nelly Group AB's overall stock score reflects its solid financial performance and reasonable valuation, which are the most significant factors. The stock's strong technical indicators suggest a bullish trend, though the overbought condition warrants caution. The absence of earnings call and corporate events data did not impact the score.

Nelly Group AB Business Overview & Revenue Model

Company Description

Nelly Group AB (NELLY) is a prominent Swedish e-commerce company that primarily operates in the fashion sector. The company specializes in offering trendy clothing, shoes, and accessories, targeting a young and fashion-conscious demographic. Nelly Group is known for its wide range of stylish products, catering to both women and men, which are made available through their online retail platform.

How the Company Makes Money

Nelly Group AB makes money through its e-commerce platform by selling fashion apparel, shoes, and accessories directly to consumers. The company generates revenue by offering a diverse and curated selection of fashion products that appeal to its target demographic. Key revenue streams include direct sales from their website, mobile applications, and any associated shipping fees. Nelly Group may also engage in marketing partnerships and collaborations with fashion brands, influencers, and other entities to enhance its product offerings and market reach. The company's success is significantly influenced by its ability to maintain a fresh and desirable inventory, competitive pricing, and effective digital marketing strategies that drive customer acquisition and retention.

Nelly Group AB Financial Statement Overview

Summary

Nelly Group AB demonstrates solid financial health with a strong recovery in profitability metrics and improved cash flow management. The company has shown moderate revenue growth and operational efficiency, although maintaining balance sheet strength remains crucial.

Income Statement

Nelly Group AB showed a strong recovery in its profitability metrics for the TTM (Trailing-Twelve-Months) with a gross profit margin of 53.3% and a net profit margin of 9.1%. The revenue growth rate of 2.34% from the previous year indicates moderate top-line growth. EBIT and EBITDA margins have improved substantially, indicating operational efficiency. However, the company faced challenges in previous years with negative net income, impacting longer-term performance.

Balance Sheet

The balance sheet of Nelly Group AB shows a moderate debt-to-equity ratio of 1.00, suggesting balanced leverage. The return on equity (ROE) is strong at 40.1%, driven by improved profitability. The equity ratio is 29.9%, reflecting a solid equity base but indicating room for improvement in asset financing through equity. Historical liabilities had been a concern, but recent improvements in equity levels and cash reserves are positive signs.

Cash Flow

Cash flow analysis reveals a robust free cash flow growth rate, with a positive operating cash flow to net income ratio of 1.44, indicating effective cash generation from operations. The free cash flow to net income ratio of 1.34 suggests strong cash conversion. The company has displayed consistent improvements in free cash flow management following past volatility.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.09B	1.06B	1.30B	1.43B	1.39B
Gross Profit	581.40M	504.20M	566.30M	638.80M	308.90M
EBITDA	145.60M	63.60M	-22.40M	-29.10M	-13.90M
Net Income	83.40M	-1.50M	-71.70M	-47.80M	-71.00M
Balance Sheet
Total Assets	867.80M	799.80M	837.20M	899.90M	655.10M
Cash, Cash Equivalents and Short-Term Investments	196.90M	151.10M	96.80M	197.50M	230.10M
Total Debt	260.40M	283.60M	294.60M	316.40M	39.50M
Total Liabilities	630.70M	621.20M	703.60M	695.50M	405.30M
Stockholders Equity	237.10M	178.60M	133.60M	204.40M	249.80M
Cash Flow
Free Cash Flow	154.50M	36.40M	-75.90M	-4.30M	-325.30M
Operating Cash Flow	154.50M	59.30M	-64.80M	18.80M	-319.10M
Investing Cash Flow	-22.40M	-22.90M	-11.10M	-22.90M	-80.40M
Financing Cash Flow	-56.40M	17.80M	-25.00M	-29.20M	176.30M

Nelly Group AB Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 57.10
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:NELLY, the sentiment is Positive. The current price of 57.1 is above the 20-day moving average (MA) of 46.23, above the 50-day MA of 43.90, and above the 200-day MA of 34.48, indicating a bullish trend. The MACD of 3.41 indicates Negative momentum. The RSI at 76.81 is Negative, neither overbought nor oversold. The STOCH value of 87.70 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SE:NELLY.

Nelly Group AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RUG	77 Outperform	kr1.35B	23.70	9.80%	1.93%	2.61%	-14.95%
BOKUS	75 Outperform	kr1.08B	21.13		7.66%	10.14%	11.14%
BORG	74 Outperform	kr1.44B	16.46	22.33%	53.23%	14.83%	20.70%
NELLY	71 Outperform	€1.71B	13.46	50.07%	―	8.68%	137.29%
Sector *	63 Neutral	kr10.72B	19.19	4.75%	4.11%	1.65%	-11.04%
BOOZT	59 Neutral	kr5.30B	16.00		―	5.58%	―
DSNO	43 Neutral	kr117.82M	―	-193.46%	―	-11.18%	96.64%

Nelly Group AB Corporate Events

Nelly Group Expands Share Capital to Strengthen Market Position

Nelly Group AB has increased its number of shares and votes by 47,950 as part of a share program approved at the annual general meeting in May 2025. This increase is expected to impact the company’s operations by enhancing its capital structure, potentially strengthening its market position and providing more flexibility for future growth initiatives.

Nelly Group to Release Q2 2025 Interim Report

Nelly Group AB has announced that it will release its second quarter interim report for 2025 on July 15. A conference call for analysts, investors, and media will follow the release, allowing participants to submit written questions. This announcement underscores Nelly Group’s commitment to transparency and engagement with its stakeholders.

Nelly Group AB’s 2025 AGM Approves Key Resolutions for Strategic Growth

Nelly Group AB held its 2025 Annual General Meeting, where all board and nomination committee proposals were approved. Key resolutions included the re-election of board members, adoption of financial statements, and implementation of share programs for senior executives. The AGM also authorized the board to repurchase and transfer shares and issue new shares, warrants, and convertible bonds, potentially diluting up to 25% of share capital. These decisions reflect Nelly’s strategic focus on enhancing shareholder value and operational flexibility.