Nolato AB (NOLA.B) AI Stock Analysis

• Market Cap: kr13.31B
• Dividend Yield: 2.48%
• Average Volume (3M): 189.00K
• Price to Earnings (P/E): 21.4
• Beta (1Y): 0.78
• Revenue Growth: 0.40%
• EPS Growth: 38.42%
• Country: SE
• Employees: 5,405
• Sector: Healthcare
• Sector Strength: 45
• Industry: Conglomerates
• EPS (TTM): 0.56
• Shares Outstanding: 241,786,940
• 10 Day Avg. Volume: 114,289
• 30 Day Avg. Volume: 189,000
• PEG Ratio: 1.19
• Price to Book (P/B): 3.01
• Price to Sales (P/S): 1.76
• P/FCF Ratio: 0.00
• 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
• EPS Forecast (FY): 3.15
• Revenue Forecast (FY): kr9.71B

• Rating: 58 Neutral
• Price Target: kr54.00 ▼(-11.76% Downside)
• Action: Reiterated Date: 02/08/26
• Date: Action: Reiterated 02/08/26

The score is held back mainly by the sharp deterioration in 2025 cash conversion and clear bearish technical trend signals. Offsetting factors include improved profitability and manageable leverage, plus a constructive earnings-call outlook (margin progress and actions to address near-term headwinds), with valuation and dividend providing moderate support.

Positive Factors

Medical segment scale & margin

Medical Solutions being 58% of group with currency-adjusted growth and mid-teens margins creates a durable, higher-margin revenue base. Global expansions (Hungary, Poland, Malaysia) deepen customer proximity and capacity, supporting long-term demand capture and pricing power in healthcare markets.

Improving profitability and ROCE

Meaningful margin improvement and higher ROCE reflect better cost control, mix and operational leverage. Sustained margin expansion increases internal cash generation potential and resilience to cyclical revenue weakness, supporting reinvestment and strategic options over the medium term.

Conservative leverage and M&A capacity

A modest debt-to-equity ratio and improved returns imply a conservative capital structure. Management explicitly highlights capacity for M&A, indicating financial flexibility to pursue strategic bolt-ons that can strengthen capabilities or market share without overleveraging the business.

Negative Factors

Weak cash conversion

A sharp decline in operating cash flow and zero free cash flow materially weakens financial flexibility. With operating cash covering only ~0.14x of net income, working-capital strain and episodic cash volatility raise risk for capex funding, dividends and M&A execution if the trend persists.

Stagnant revenue momentum

Consistently weak top-line momentum despite margin gains limits sustainable operating scale. Without renewed organic growth or successful M&A, margin improvements may be insufficient to drive durable earnings growth, making the business reliant on cost measures and pricing that can face competitive resistance.

Input-cost and start-up exposure

Exposure to precious-metal price swings in Engineered materials and recurring start-up costs for new capacity reduce margin predictability. Timing of price pass-through and ramp-up inefficiencies can persist, adding structural volatility to margins and complicating cashflow and planning over the next several quarters.

Nolato AB Business Overview & Revenue Model

Company Description

Nolato AB (publ) develops, manufactures, and sells plastic, silicone, and thermoplastic elastomer products for medical technology, pharmaceutical, consumer electronics, telecom, automotive, and other industrial sectors in North America, Sweden, Asia, and other Europe region. The company offers consumables and reusable labware for clinical, chemical, forensic, research, and industrial testing laboratories; manufactures pipette tips, deep-well plates, microtubes, and PCR products; assemblies and post-processing services; and products for primary pharmaceutical packaging, as well as for solids, creams, and ophthalmic and customized production solutions. It designs, develops, and produces advanced components, subsystems, and ready-packaged electronics products, such as laser applications and ceramics, fitness trackers, loudspeaker systems, thermostats, webcams, and vaporiser heating products; automotive products; EMI shielding, thermal interface materials, and silicone sealing and damping solutions; and supplies plastic components and assemblies for food processing equipment, such as coffee machines and blenders. The company was formerly known as Nordiska Latexfabriken i Torekov AB and changed its name to Nolato AB (publ) in 1982. Nolato AB (publ) was incorporated in 1938 and is headquartered in Torekov, Sweden.

How the Company Makes Money

Nolato AB generates revenue through multiple key streams, primarily by manufacturing and supplying high-quality products to the medical and industrial sectors. The medical segment contributes significantly to the company's earnings, as Nolato produces critical components and devices for healthcare applications, including surgical instruments and drug delivery systems. The industrial segment includes a variety of applications, such as automotive parts and consumer products. Additionally, Nolato benefits from long-term contracts and strategic partnerships with leading companies in the healthcare and industrial markets, which provide a stable revenue base. The company also invests in innovation and sustainability, enabling it to command premium pricing for its advanced products and services.

Nolato AB Financial Statement Overview

Summary

Profitability improved in 2025 with higher margins and better ROE, and leverage remains manageable. However, revenue momentum is weak and 2025 cash generation deteriorated sharply (operating cash flow dropped materially and free cash flow fell to zero), making cash conversion the key risk.

Income Statement

Profitability rebounded meaningfully versus 2023, with 2025 showing stronger gross and operating margins and higher net income, despite revenue being essentially flat to down (2025 revenue growth -1.149% after modest growth in 2024). Net profit margin improved to ~8.2% in 2025 from ~6.8% in 2024 and ~4.6% in 2023, indicating better cost control/mix. The key weakness is the lack of consistent top-line momentum since 2022 and a multi-year step-down from the stronger 2020–2021 earnings profile.

Balance Sheet

Leverage looks manageable, with debt-to-equity around 0.34 in 2025 (improved vs. 2023 ~0.36 and well below 2020 ~0.58), suggesting a more conservative capital structure over time. Returns on equity have improved (2025 ~14.0% vs. 2024 ~11.5% and 2023 ~8.4%), supporting balance-sheet quality. Offsetting this, equity declined in 2025 versus 2024, and total debt increased in 2025 versus 2024, which reduces flexibility if the recent revenue softness persists.

Cash Flow

Cash generation deteriorated sharply in 2025: operating cash flow fell to 310M from 1,377M in 2024, and free cash flow dropped to 0 (vs. 742M in 2024). Cash conversion also weakened materially, with operating cash flow covering only ~0.14x of net income in 2025 (vs. ~0.72x in 2024), suggesting working-capital pressure and/or higher cash costs. While prior years show the business can generate solid free cash flow (notably 2024 and 2020), the latest year introduces elevated volatility and execution risk.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	9.46B	9.66B	9.55B	10.77B	11.61B
Gross Profit	1.73B	1.61B	1.34B	1.43B	1.82B
EBITDA	1.59B	1.51B	1.28B	1.48B	1.92B
Net Income	777.00M	658.00M	435.00M	697.00M	1.16B
Balance Sheet
Total Assets	9.28B	9.69B	9.30B	10.01B	10.05B
Cash, Cash Equivalents and Short-Term Investments	482.00M	672.00M	688.00M	1.01B	1.45B
Total Debt	1.86B	1.53B	1.88B	2.03B	1.79B
Total Liabilities	3.75B	3.95B	4.13B	4.62B	5.29B
Stockholders Equity	5.53B	5.74B	5.17B	5.39B	4.77B
Cash Flow
Free Cash Flow	0.00	742.00M	355.00M	-49.00M	446.00M
Operating Cash Flow	310.00M	1.38B	781.00M	406.00M	1.23B
Investing Cash Flow	-146.00M	-636.00M	-444.00M	-451.00M	-782.00M
Financing Cash Flow	-206.00M	-798.00M	-631.00M	-487.00M	-634.00M

Nolato AB Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 61.20
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:NOLA.B, the sentiment is Negative. The current price of 61.2 is above the 20-day moving average (MA) of 50.94, above the 50-day MA of 54.93, and above the 200-day MA of 58.11, indicating a bearish trend. The MACD of -1.33 indicates Negative momentum. The RSI at 34.63 is Neutral, neither overbought nor oversold. The STOCH value of 18.27 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:NOLA.B.

Nolato AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MCAP	64 Neutral	kr7.21B	37.43	15.16%	―	11.30%	-14.49%
VIMIAN	63 Neutral	kr13.81B	30.21	4.54%	―	17.13%	―
ALIF.B	61 Neutral	kr17.18B	34.62	7.24%	0.46%	5.14%	236.75%
NOLA.B	58 Neutral	kr13.31B	21.43	14.22%	2.48%	0.40%	38.42%
EKTA.B	54 Neutral	kr22.01B	546.38	3.08%	4.25%	-0.90%	-70.95%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
VITR	49 Neutral	kr12.42B	-3.70	3.34%	0.80%	-1.29%	―

Nolato AB Corporate Events

Nolato Lifts Profitability in 2025 as Medical Solutions Drives Growth and M&A Ambitions

Nolato reported stable fourth-quarter 2025 performance in a challenging market, with currency-adjusted sales up 2% and an improved EBITA margin of 10.4%, even as reported sales and profit after tax declined slightly year on year. For the full year, the group delivered an 11% increase in operating profit to SEK 1,065 million and lifted its EBITA margin to 11.3%, supported by strategic price and cost measures, stronger profitability, and a solid balance sheet that saw net financial liabilities at 0.5 times EBITDA and a proposed dividend increase to SEK 1.70 per share. Growth is being driven primarily by the Medical Solutions segment, which now accounts for 58% of group revenues and is benefiting from ongoing capacity expansions in Europe and Asia, while Engineered Solutions showed margin improvement despite mixed volumes across consumer electronics, hygiene and other markets. Management highlighted that the company’s strong financial position underpins an intensified M&A agenda and continued investments in new materials and technologies, aimed at reinforcing Nolato’s global positioning and enabling profitable growth through both organic expansion and acquisitions.

The most recent analyst rating on ($SE:NOLA.B) stock is a Buy with a SEK69.00 price target. To see the full list of analyst forecasts on Nolato AB stock, see the SE:NOLA.B Stock Forecast page.

Nolato Updates Share and Vote Count After Executive Warrant Exercise

Nolato AB has slightly increased its share capital and voting rights following the subscription of 3,862 Class B shares under a warrant-based incentive program for senior executives approved in 2022. As of 30 January 2026, the company now has a total of 269,380,942 shares and 517,726,942 votes, divided into 27,594,000 Class A shares with 10 votes each and 241,786,942 Class B shares with one vote each, a minor dilution that reflects ongoing use of long-term incentives to align management interests with shareholders.

The most recent analyst rating on ($SE:NOLA.B) stock is a Buy with a SEK69.00 price target. To see the full list of analyst forecasts on Nolato AB stock, see the SE:NOLA.B Stock Forecast page.

Nolato Strengthens Board with Proposed Appointments of Industrial Veterans Saltin and Malmvik

Nolato’s nomination committee has proposed industrial executive Gunilla Saltin and Axel Johnson International CEO Martin Malmvik as new members of the board, while current director Åsa Hedin has declined re-election. Saltin brings more than 25 years of international experience in the pulp, paper and steel industries with a strong focus on transformation, investment and sustainability, and Malmvik adds a track record in acquisitions, commercial development and operational leadership in global industrial businesses. The proposals, to be voted on at the annual general meeting scheduled for 6 May 2026 in Grevie, Sweden, underscore Nolato’s efforts to strengthen its governance with seasoned leaders in sustainability, M&A and industrial development, potentially supporting the group’s continued expansion and strategic positioning across its global polymer-based solutions markets.

The most recent analyst rating on ($SE:NOLA.B) stock is a Buy with a SEK69.00 price target. To see the full list of analyst forecasts on Nolato AB stock, see the SE:NOLA.B Stock Forecast page.

Nolato Schedules Webcast to Present 2025 Year-End Results

Nolato AB will publish its year-end report for 2025 on Thursday, 5 February at 2:00 p.m. CET and will follow it with an English-language webcast conference call at 2:45 p.m. CET, where President and CEO Christer Wahlquist and CFO Per-Ola Holmström will present the results and answer investor and analyst questions. The company will make the presentation materials, as well as a recording and transcript of the webcast, available on its website, underscoring its focus on transparency and engagement with the capital market ahead of a key financial disclosure.

The most recent analyst rating on ($SE:NOLA.B) stock is a Buy with a SEK69.00 price target. To see the full list of analyst forecasts on Nolato AB stock, see the SE:NOLA.B Stock Forecast page.