Investment AB Oresund (ORES) AI Stock Analysis

• Market Cap: kr6.11B
• Dividend Yield: 6.23%
• Average Volume (3M): 37.67K
• Price to Earnings (P/E): 6.1
• Beta (1Y): 0.67
• Revenue Growth: -0.22%
• EPS Growth: -58.80%
• Country: SE
• Employees: 6
• Sector: Financial
• Sector Strength: 70
• Industry: Asset Management
• EPS (TTM): 9.12
• Shares Outstanding: 45,457,817
• 10 Day Avg. Volume: 43,008
• 30 Day Avg. Volume: 37,666
• PEG Ratio: 0.02
• Price to Book (P/B): 1.00
• Price to Sales (P/S): 30.63
• P/FCF Ratio: 33.56
• 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): N/A
• Revenue Forecast (FY): N/A

• Rating: 78 Outperform
• Price Target: kr153.00 ▲(27.93% Upside)
• Action: Reiterated Date: 02/01/26
• Date: Action: Reiterated 02/01/26

The score is driven primarily by strong financial resilience (very low leverage and solid ongoing cash generation) and an attractive valuation (low P/E with a high dividend yield). Technicals are supportive with the price above major moving averages and positive MACD. The key risk tempering the score is earnings and revenue volatility, including a sharp 2025 revenue decline.

Positive Factors

Very low leverage

Extremely low leverage and a large equity base provide durable financial flexibility. This solvency allows the company to fund activist stakes, absorb market drawdowns, and pursue opportunistic purchases without forced selling, supporting long-term capital allocation and resilience.

Consistent cash generation

Consistent positive operating and free cash flow with near 1:1 conversion in many years underpins sustainable internal funding for governance activities, reinvestment and distributions. Reliable cash flow reduces reliance on external financing over the medium term.

Active, focused investment model

A concentrated, active ownership approach creates a structural advantage: management can influence corporate outcomes, drive governance improvements, and realize value over multi-year horizons. Focused Nordic expertise supports persistent alpha potential versus passive holders.

Negative Factors

Earnings volatility

Large year-to-year swings, including a ~76.8% revenue drop in 2025, materially reduce earnings visibility and hinder reliable forecasting of distributable cash and returns. Such volatility stems from portfolio valuation swings and creates long-run predictability challenges.

Inconsistent free cash flow growth

While cash generation is positive, intermittent FCF declines and a 2025 operating cash flow dip limit steady expansion of payouts or buybacks. This inconsistency constrains long-term planning and reduces the reliability of shareholder distributions in weak years.

Concentration and market dependence

High portfolio concentration and dependence on investee dividends, exits and market valuations amplify idiosyncratic and market risk. Even with active governance, outcomes hinge on a few holdings and market timing, limiting diversification and increasing outcome variability over time.

Investment AB Oresund Business Overview & Revenue Model

Company Description

Investment AB Oresund is a publicly owned investment manager. Investment AB Oresund was founded in 1890 and is based in Stockholm, Sweden.

How the Company Makes Money

Investment AB Öresund makes money mainly through returns generated on its investment portfolio. Key sources include: (1) Dividends and other distributions received from its shareholdings in portfolio companies, which can fund operating expenses and potential shareholder distributions; (2) Capital gains from selling investments at prices above their purchase cost (realized gains) and increases in the market value of listed holdings (unrealized gains reflected in net asset value), driven by market movements and company-specific performance; (3) In some cases, corporate actions involving investee companies (e.g., spin-offs, tender offers, mergers) can generate gains or distributions. The company’s results are therefore strongly influenced by equity market performance, concentration in major holdings, timing of investment exits/entries, and the financial performance and payout policies of its investee companies. Specific material partnerships or customer contracts are not applicable in the way they are for operating companies; earnings depend primarily on portfolio composition, ownership strategy, and capital markets conditions.

Investment AB Oresund Financial Statement Overview

Summary

Very strong balance sheet with extremely low leverage and high financial flexibility (Balance Sheet Score 86). Cash generation is consistently positive with generally solid cash conversion (Cash Flow Score 72). The main drawback is volatile profitability and a sharp revenue decline in 2025, reducing earnings visibility (Income Statement Score 58).

Income Statement

Profitability is strong in most years, with very high margins in 2021–2024 and a clear rebound from the 2022 loss. However, results are volatile: revenue swings from strongly positive to negative in earlier years, and 2025 shows a sharp revenue decline (-76.8%) and a much lower profit margin versus 2024. Overall, earnings power exists but visibility and stability are weaker than typical due to large year-to-year fluctuations.

Balance Sheet

The balance sheet is conservatively positioned with extremely low leverage (debt-to-equity consistently near zero) and a large equity base relative to assets. Returns on equity improved meaningfully into 2024–2025, though they were negative in 2020 and 2022, highlighting that book value is strong but investment/valuation-driven earnings can be uneven. Net-net, solvency risk looks low and financial flexibility is high.

Cash Flow

Cash generation is positive across all shown years, with operating cash flow and free cash flow consistently positive and generally tracking net income closely (near 1:1 conversion most years). That said, free cash flow growth is inconsistent (declines in 2022 and 2025), and operating cash flow dipped in 2025 versus 2024. Overall, cash flow quality is solid, but growth momentum is not steady.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	171.70M	422.15M	255.57M	-1.67B	1.27B
Gross Profit	171.70M	422.01M	255.57M	-1.67B	1.27B
EBITDA	843.30M	423.61M	229.94M	-1.68B	1.26B
Net Income	859.50M	423.49M	246.54M	-1.68B	1.26B
Balance Sheet
Total Assets	5.33B	4.78B	4.67B	4.73B	6.77B
Cash, Cash Equivalents and Short-Term Investments	74.00M	329.25M	392.41M	591.82M	201.84M
Total Debt	21.80M	17.37M	21.00M	10.54M	77.49M
Total Liabilities	48.40M	35.24M	30.77M	25.57M	86.90M
Stockholders Equity	5.28B	4.75B	4.64B	4.71B	6.68B
Cash Flow
Free Cash Flow	156.70M	188.23M	136.53M	60.00M	142.32M
Operating Cash Flow	156.70M	188.34M	136.76M	60.00M	142.32M
Investing Cash Flow	-80.80M	70.33M	-23.46M	628.76M	140.86M
Financing Cash Flow	-331.20M	-321.84M	-312.71M	-298.78M	-275.91M

Investment AB Oresund Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 119.60
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:ORES, the sentiment is Positive. The current price of 119.6 is below the 20-day moving average (MA) of 133.51, below the 50-day MA of 125.22, and above the 200-day MA of 118.27, indicating a bullish trend. The MACD of 3.31 indicates Positive momentum. The RSI at 56.81 is Neutral, neither overbought nor oversold. The STOCH value of 34.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SE:ORES.

Investment AB Oresund Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ORES	78 Outperform	kr6.11B	6.12	―	6.23%	-0.22%	-58.80%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
CRED.A	63 Neutral	kr8.94B	8.37	11.24%	2.18%	4.72%	-38.28%
SVOL.B	63 Neutral	kr5.24B	-35.16	7.55%	0.79%	-25.75%	-27.25%
CAT.B	53 Neutral	kr1.90B	52.96	2.56%	3.30%	40.78%	―
NAXS	49 Neutral	kr390.10M	-15.68	―	8.78%	―	―
LINC	48 Neutral	kr3.94B	-10.10	-1.58%	―	45733.33%	-105.08%