Ovzon AB (OVZON) AI Stock Analysis

• Market Cap: kr6.29B
• Dividend Yield: N/A
• Average Volume (3M): 426.86K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.37
• Revenue Growth: 77.67%
• EPS Growth: 68.35%
• Country: SE
• Employees: 38
• Sector: Communication Services
• Sector Strength: 97
• Industry: Telecommunications Services
• EPS (TTM): 0.30
• Shares Outstanding: 111,530,520
• 10 Day Avg. Volume: 494,827
• 30 Day Avg. Volume: 426,856
• PEG Ratio: -0.07
• Price to Book (P/B): 1.20
• Price to Sales (P/S): 5.72
• P/FCF Ratio: -17.68
• 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: 58 Neutral
• Price Target: kr58.00 ▲(52.63% Upside)

The score is primarily supported by improving fundamentals (revenue growth and better margins) and a solid balance sheet, but is held back by ongoing net losses and negative free cash flow. Technically, the uptrend is strong, yet overbought signals increase near-term risk. Valuation is constrained by the negative P/E and no provided dividend yield.

Positive Factors

High gross margin

Sustained gross margins above 50% indicate durable pricing power in satellite capacity and managed services. High gross margins help absorb SG&A and R&D, support investment in network assets and product development, and improve the potential for achieving operating profits as scale rises.

Conservative leverage

Low leverage provides long-term financial flexibility for capital-intensive satellite and ground infrastructure investment. A conservative balance sheet lowers refinancing risk, supports multi-year government contract delivery, and enables strategic funding without immediate dilution or stressed credit conditions.

Improving revenue growth

Consistent top-line growth reflects strengthening commercial traction in mission-critical markets (defense, emergency, enterprise). Durable revenue expansion supports scale-driven margin gains, better capacity utilization, and stronger contract renewal leverage over the next several quarters.

Negative Factors

Ongoing net losses

Persistent net losses and negative ROE signal the company is not yet converting strong gross margins and revenue growth into shareholder returns. Continued losses can force equity raises, limit retained capital for growth, and create pressure on margins if financing costs rise.

Negative free cash flow

Negative free cash flow after capex indicates the business currently cannot fully fund network and equipment investments from operations. Over time this drives reliance on external financing, which can constrain strategic choices, increase dilution risk, or limit the pace of fleet and service expansion.

Dependence on public-sector contracts

Heavy reliance on government and defense procurements creates structural revenue volatility from award timing, renewals and budget cycles. Long sales cycles and contract concentration increase exposure to procurement delays, regulatory shifts and political spending priorities over the medium term.

Ovzon AB Business Overview & Revenue Model

Company Description

Ovzon AB (OVZON) is a Swedish satellite communication company that specializes in providing high-speed mobile broadband services primarily for the defense, maritime, and media sectors. The company leverages its proprietary satellite technology to deliver reliable connectivity solutions in remote and challenging environments, facilitating both voice and data communications. Ovzon's core offerings include satellite terminals and a cloud-based service platform that enhances user experience and operational efficiency.

How the Company Makes Money

Ovzon generates revenue primarily through the sale of satellite communication services and equipment. The company's revenue model is based on subscription fees for access to its satellite network, as well as one-time fees for the sale and leasing of satellite terminals. Key revenue streams include long-term contracts with government and defense agencies, partnerships with commercial enterprises in maritime and broadcasting sectors, and the provision of tailored communication solutions. Additionally, Ovzon may benefit from collaborations with other technology and communication companies that enhance its service offerings and expand its market reach.

Ovzon AB Financial Statement Overview

Summary

Revenue growth and improved gross margin support the score, and the balance sheet is relatively conservative with low leverage. However, profitability remains weak (negative net margin, negative ROE) and cash flow quality is mixed with negative free cash flow.

Income Statement

Ovzon AB has shown a significant improvement in revenue growth, with a 23.36% increase in the TTM period. The gross profit margin has improved to 56.55% in TTM, indicating better cost management. However, the company is still facing challenges with profitability, as evidenced by a negative net profit margin of -18.56% in TTM. The EBIT and EBITDA margins have improved, but the company remains unprofitable at the net income level.

Balance Sheet

The company's debt-to-equity ratio is relatively low at 0.40 in TTM, suggesting a conservative leverage position. However, the return on equity is negative at -5.19%, indicating that the company is not generating positive returns for shareholders. The equity ratio is strong, reflecting a solid capital structure.

Cash Flow

Ovzon AB's cash flow situation is mixed. The operating cash flow has improved significantly, but the free cash flow growth is negative, indicating challenges in generating cash after capital expenditures. The operating cash flow to net income ratio is low, and the free cash flow to net income ratio is negative, highlighting ongoing cash flow management issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	565.00M	334.00M	290.00M	356.99M	191.38M	160.48M
Gross Profit	264.00M	162.00M	85.00M	124.69M	24.60M	61.46M
EBITDA	251.00M	7.00M	-37.00M	-12.62M	-74.07M	-102.48M
Net Income	-25.00M	-162.00M	-60.00M	-36.19M	-83.85M	-104.05M
Balance Sheet
Total Assets	2.61B	2.77B	2.54B	1.92B	1.85B	1.33B
Cash, Cash Equivalents and Short-Term Investments	216.00M	126.00M	247.00M	275.61M	406.08M	185.03M
Total Debt	547.00M	775.00M	657.00M	478.05M	323.67M	5.34M
Total Liabilities	920.00M	1.18B	765.00M	528.85M	403.05M	36.75M
Stockholders Equity	1.69B	1.59B	1.78B	1.39B	1.45B	1.29B
Cash Flow
Free Cash Flow	210.00M	-108.00M	-689.00M	-275.26M	-349.74M	-650.89M
Operating Cash Flow	256.00M	51.00M	-14.00M	-112.16M	-75.93M	-153.71M
Investing Cash Flow	-48.00M	-158.00M	-668.00M	-150.65M	-273.81M	-496.13M
Financing Cash Flow	-81.00M	-17.00M	651.00M	101.51M	558.62M	581.79M

Ovzon AB Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 38.00
• 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:OVZON, the sentiment is Positive. The current price of 38 is below the 20-day moving average (MA) of 51.23, below the 50-day MA of 40.96, and above the 200-day MA of 37.46, indicating a bullish trend. The MACD of 4.55 indicates Positive momentum. The RSI at 67.34 is Neutral, neither overbought nor oversold. The STOCH value of 60.30 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SE:OVZON.

Ovzon AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TEL2.B	66 Neutral	kr110.22B	24.01	20.60%	4.15%	0.51%	14.15%
TELIA	66 Neutral	kr156.18B	31.62	10.93%	5.14%	-5.76%	-10.05%
BRE2	66 Neutral	kr3.10B	28.15	―	4.67%	9.72%	4.26%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
OVZON	58 Neutral	kr6.29B	-248.44	-1.33%	―	77.67%	68.35%
IVSO	57 Neutral	kr12.45B	58.70	21.88%	0.87%	5.69%	4.82%
SINCH	53 Neutral	kr23.56B	-63.29	-1.23%	―	-1.62%	94.01%

Ovzon AB Corporate Events

Ovzon adjusts share capital to fund long-term incentive programs

Ovzon AB has increased its total number of shares and votes through the issuance of 764,178 C-shares during January 2026, raising its share capital by SEK 76,418. These C-shares were immediately repurchased by the company and are intended to serve the LTIP 2024 and LTIP 2025 long-term incentive programs, bringing the total number of outstanding shares to 112,294,694 and total votes to 111,606,934 at the end of January, a move that fine-tunes Ovzon’s capital structure to support employee and management incentives without materially altering control for existing shareholders.

The most recent analyst rating on (SE:OVZON) stock is a Hold with a SEK57.00 price target. To see the full list of analyst forecasts on Ovzon AB stock, see the SE:OVZON Stock Forecast page.

Ovzon strengthens leadership as satellite veteran Martin Eriksson becomes CTO

Ovzon AB has appointed long-time executive Martin Eriksson as its new Chief Technology Officer and member of Group Management, effective immediately, emphasizing continuity in technical leadership as the company scales its satellite communications offering. Eriksson, who has been with Ovzon since 2008 and led the design, production and launch of its first satellite as Space Systems Manager, will oversee further development of the company’s space systems and capabilities, while a streamlined five-person Group Management team and the reassignment of former executives to key technical and business development roles aim to strengthen integration, focus and support Ovzon’s profitable growth strategy.

The most recent analyst rating on (SE:OVZON) stock is a Buy with a SEK61.00 price target. To see the full list of analyst forecasts on Ovzon AB stock, see the SE:OVZON Stock Forecast page.

Ovzon Issues and Repurchases C-Shares to Fund Long-Term Incentive Programs

Ovzon AB’s board has resolved, under existing AGM authorization, to conduct a directed issue of 764,178 C-shares linked to its long-term incentive programs LTIP 2024 and LTIP 2025, all of which will be subscribed by Danske Bank at par value, immediately repurchased by Ovzon, and later converted into common shares for delivery to program participants. The transaction is designed to secure shares for employee and management incentives and to cover related social security costs, using non-dividend-bearing, low-vote C-shares, thereby supporting the company’s long-term retention and alignment strategy without materially altering its dividend obligations while modestly affecting its capital and voting structure.

The most recent analyst rating on (SE:OVZON) stock is a Hold with a SEK40.00 price target. To see the full list of analyst forecasts on Ovzon AB stock, see the SE:OVZON Stock Forecast page.

Ovzon wins 240 MSEK NATO defense SATCOM contract

Ovzon has secured a 240 MSEK (approximately 25.2 MUSD) contract with a European NATO country’s defense organization for its full Ovzon 3-based SATCOM solution, including satellite network services for an initial six-month period starting in the first quarter of 2026, mobile satellite terminals and dedicated customer support. Around 60 percent of the order value relates to deliveries of Ovzon’s mobile terminals, to be rolled out progressively during 2026, underscoring rising demand for the company’s high-performance, resilient communications in contested environments and strengthening its order backlog and positioning in the European defense SATCOM market as regional collective defense efforts intensify.

The most recent analyst rating on (SE:OVZON) stock is a Hold with a SEK31.00 price target. To see the full list of analyst forecasts on Ovzon AB stock, see the SE:OVZON Stock Forecast page.

Ovzon Secures Additional 58 MSEK Order from FMV for Satellite Terminals

Ovzon AB has secured a supplementary order worth 58 MSEK from the Swedish Defence Materiel Administration (FMV) for its mobile satellite terminals, to be delivered in the first half of 2026. This follows a broader existing contract with FMV and underscores Ovzon’s market position as a provider of mission-critical, high-performance communication solutions, further solidifying its partnership with FMV and its role in robust, reliable communication services in challenging environments.

The most recent analyst rating on (SE:OVZON) stock is a Hold with a SEK31.00 price target. To see the full list of analyst forecasts on Ovzon AB stock, see the SE:OVZON Stock Forecast page.

Ovzon AB Reports Strong Q3 2025 Growth and Strategic Developments

Ovzon AB reported strong financial growth for the third quarter of 2025, with significant increases in revenue and profitability compared to the previous year. Key developments include a new loan facility with Danske Bank, the appointment of Jeanette Irekvist as Chief Commercial Officer, and an additional order from the Swedish Defence Materiel Administration for mobile satellite terminals. These developments are expected to enhance Ovzon’s operational capabilities and market positioning, potentially benefiting stakeholders by strengthening the company’s financial stability and expanding its service offerings.

The most recent analyst rating on (SE:OVZON) stock is a Hold with a SEK34.00 price target. To see the full list of analyst forecasts on Ovzon AB stock, see the SE:OVZON Stock Forecast page.