Netel Holding AB (NETEL) AI Stock Analysis

• Market Cap: kr550.12M
• Dividend Yield: N/A
• Average Volume (3M): 54.46K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.07
• Revenue Growth: -6.27%
• EPS Growth: -201.92%
• Country: SE
• Employees: 837
• Sector: Technology
• Sector Strength: 88
• Industry: Telecommunications Services
• EPS (TTM): 0.11
• Shares Outstanding: 48,511,870
• 10 Day Avg. Volume: 72,742
• 30 Day Avg. Volume: 54,458
• PEG Ratio: 0.07
• Price to Book (P/B): 0.59
• Price to Sales (P/S): 0.20
• P/FCF Ratio: 10.92
• 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: kr13.75
• Price Target Upside: 21.90% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 63 Neutral
• Price Target: kr11.50 ▲(1.95% Upside)

Netel Holding AB's overall stock score is primarily influenced by its financial performance and technical analysis. The company's financial challenges, including negative net income and cash flow issues, weigh heavily on the score. However, positive technical indicators provide some support. The valuation is weak due to a negative P/E ratio and lack of dividend yield, further impacting the overall score.

Netel Holding AB Business Overview & Revenue Model

Company Description

Netel Holding AB provides Infranet services within mobile, fixed, and power networks in Sweden, Norway, Finland, and Germany. It provides Infranet project management services for the construction and maintenance of physical telecom, broadband, and power networks. The company is involved in the planning, permit management, construction, installation, roll-out, commissioning, and integration of mobile data network systems; logistics services; designs fiber networks; upgrade of coaxial networks, preventive and corrective maintenance, and installation of communication networks; and construction and maintenance of infrastructure for district heating, water, and sewage. It serves telecom operators, owners of mobile towers, and system suppliers; network owners, network operators and tenant-owner associations; infrastructure owners; and real estate and construction companies. Netel Holding AB was founded in 2000 and is based in Stockholm, Sweden.

How the Company Makes Money

Netel Holding AB primarily generates revenue through contracts for the construction and maintenance of telecommunications and power networks. The company's key revenue streams include service fees from project management and network installation, as well as recurring income from maintenance contracts. Additionally, Netel benefits from strategic partnerships and long-term agreements with major telecom operators and utility companies, which ensure a steady flow of projects and service requirements. By leveraging its expertise and industry relationships, Netel secures a diverse portfolio of projects that contribute significantly to its earnings.

Netel Holding AB Financial Statement Overview

Summary

Netel Holding AB is experiencing mixed financial performance. While operational efficiency is indicated by stable EBITDA margins, the company faces challenges with declining revenue growth and negative net income. The balance sheet shows moderate health with reduced leverage, but cash flow issues highlight liquidity concerns.

Income Statement

Netel Holding AB has shown a mixed performance with fluctuating revenue and profitability metrics. The revenue growth rate has been inconsistent, with a decline in the latest period. The gross profit margin is stable, but a negative net income in the most recent year signals challenges in profitability. EBITDA margin remains relatively stable, indicating operational efficiency, but the negative net profit margin needs attention.

Balance Sheet

The company's balance sheet reflects moderate financial health with a declining debt-to-equity ratio, indicating reduced leverage over time. The equity ratio is stable, suggesting a balanced asset structure. However, the return on equity has decreased significantly due to the recent net loss, highlighting potential profitability pressures.

Cash Flow

Cash flow analysis shows variability, with a decline in operating cash flow and free cash flow in the most recent year. The free cash flow to net income ratio is negative due to the net loss, posing a concern for cash generation capabilities. The operating cash flow to net income ratio has decreased, reflecting challenges in converting income into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.33B	3.28B	3.46B	3.14B	2.42B	2.30B
Gross Profit	1.23B	1.17B	1.21B	1.16B	860.00M	728.88M
EBITDA	199.00M	214.00M	206.00M	257.00M	176.00M	136.00M
Net Income	-33.00M	-47.00M	44.00M	123.00M	66.00M	76.93M
Balance Sheet
Total Assets	2.81B	2.97B	3.15B	3.12B	2.13B	1.51B
Cash, Cash Equivalents and Short-Term Investments	162.00M	261.00M	446.00M	369.00M	271.00M	89.87M
Total Debt	0.00	1.01B	1.06B	1.09B	589.00M	390.08M
Total Liabilities	1.70B	1.87B	2.01B	2.01B	1.22B	907.69M
Stockholders Equity	1.11B	1.09B	1.13B	1.11B	912.00M	603.27M
Cash Flow
Free Cash Flow	13.00M	59.00M	223.00M	-90.00M	91.00M	127.37M
Operating Cash Flow	19.00M	59.00M	242.00M	-72.00M	114.00M	131.27M
Investing Cash Flow	-99.00M	-162.00M	-83.00M	-238.00M	-181.00M	-1.17M
Financing Cash Flow	-11.00M	-89.00M	-67.00M	402.00M	244.00M	-132.80M

Netel Holding AB Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 11.28
• 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:NETEL, the sentiment is Positive. The current price of 11.28 is above the 20-day moving average (MA) of 10.86, above the 50-day MA of 10.49, and below the 200-day MA of 11.36, indicating a neutral trend. The MACD of 0.27 indicates Negative momentum. The RSI at 53.81 is Neutral, neither overbought nor oversold. The STOCH value of 22.64 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SE:NETEL.

Netel Holding AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ALCA	66 Neutral	517.18M	18.75	3.39%	―	-4.69%	-51.82%
NETEL	63 Neutral	kr550.12M	―		―	-6.27%	-201.92%
KEBNI.B	62 Neutral	610.17M	425.00	0.00%	―	25.82%	0.00%
INFREA	61 Neutral	400.18M	-161.25	-1.25%	3.88%	8.12%	84.94%
TRANS	54 Neutral	533.45M	30.86	3.11%	―	8.67%	-49.01%
KJELL	48 Neutral	561.10M	-18.66	-1.88%	―	-4.22%	-770.43%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Netel Holding AB Corporate Events

Netel Holding AB Navigates Start-Up Phase Challenges with Strategic Divestment and New Contracts

Netel Holding AB’s second quarter results were impacted by a high number of projects in the start-up phase, leading to a temporary decline in sales and profitability. Despite this, the company has strengthened its market position by divesting its loss-making Finnish operations and securing new contracts, which are expected to drive future growth and improved earnings.

The most recent analyst rating on (SE:NETEL) stock is a Buy with a SEK26.00 price target. To see the full list of analyst forecasts on Netel Holding AB stock, see the SE:NETEL Stock Forecast page.

Netel Secures 330 MSEK Contract with E.ON for Swedish Network Projects

Netel Holding AB’s subsidiary, Oppunda Kraftkonsult, has secured a five-year framework agreement with E.ON Energidistribution AB worth 330 MSEK, focusing on project contracting for local networks in Sweden. This agreement strengthens Netel’s position in the energy sector, supporting the electrification of society and addressing future energy needs.

The most recent analyst rating on (SE:NETEL) stock is a Buy with a SEK26.00 price target. To see the full list of analyst forecasts on Netel Holding AB stock, see the SE:NETEL Stock Forecast page.

Netel Divests Finnish Operations to Focus on Core and Growth Markets

Netel Holding AB has completed the sale of its Finnish operations to private investors, allowing the company to concentrate on its core markets in Sweden and Norway, and growth markets in Germany and the UK. The Finnish operations, which have not shown growth and reported losses, were sold for 1 EUR and recognized at a negative value in the balance sheet, with no significant impact on Netel’s financial position. This strategic move is expected to strengthen Netel’s focus and operations in its key markets.

The most recent analyst rating on (SE:NETEL) stock is a Buy with a SEK26.00 price target. To see the full list of analyst forecasts on Netel Holding AB stock, see the SE:NETEL Stock Forecast page.

Netel Expands Collaboration with Mälarenergi in Infrastructure Projects

Netel’s subsidiary, Morberg, has signed a significant agreement with Mälarenergi for two projects focused on renewing heating and water systems, valued at approximately 50 MSEK. This expansion of collaboration with Mälarenergi, which already partners with Netel in the power sector, underscores the company’s strengths in planning and communication, enhancing its industry positioning and reinforcing stakeholder trust.

The most recent analyst rating on (SE:NETEL) stock is a Buy with a SEK26.00 price target. To see the full list of analyst forecasts on Netel Holding AB stock, see the SE:NETEL Stock Forecast page.

Netel Holding AB to Release Q2 2025 Report with Webcast and Teleconference

Netel Holding AB announced that its second quarter report for 2025 will be published on July 11, with a webcast and teleconference scheduled for the same day to discuss the results. This announcement is significant for stakeholders as it provides insights into the company’s financial performance and strategic direction, potentially impacting its market position and investor confidence.

The most recent analyst rating on (SE:NETEL) stock is a Buy with a SEK26.00 price target. To see the full list of analyst forecasts on Netel Holding AB stock, see the SE:NETEL Stock Forecast page.