Ovzon AB (OVZON) AI Stock Analysis

• Market Cap: €3.94B
• Dividend Yield: N/A
• Average Volume (3M): 454.70K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.93
• Revenue Growth: 54.73%
• EPS Growth: 11.77%
• Country: SE
• Employees: 38
• Sector: Communication Services
• Sector Strength: 94
• Industry: Telecommunications Services
• EPS (TTM): 0.20
• Shares Outstanding: 111,530,520
• 10 Day Avg. Volume: 328,490
• 30 Day Avg. Volume: 454,700
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: €33.98
• Price Target Upside: -3.75% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 43 Neutral
• Price Target: kr34.00 ▼(-3.68% Downside)

Ovzon AB's overall stock score is primarily impacted by its financial performance challenges, including profitability and cash flow issues. Technical analysis further indicates bearish momentum, and the valuation is weak due to a negative P/E ratio and lack of dividend yield.

Ovzon AB Business Overview & Revenue Model

Company Description

Ovzon AB (publ) provides satellite based mobile broadband services in Sweden. It serves government, media, defense, maritime, emergency services, NGOs, and aviation segments. The company was founded in 2006 and is based in Solna, Sweden.

How the Company Makes Money

Ovzon AB generates revenue primarily through the sale of its satellite communication services. The company's revenue model is based on long-term service agreements and contracts with clients who require reliable and high-performance satellite connectivity. Key revenue streams include service fees for broadband internet access, leasing satellite capacity, and providing specialized communication solutions tailored to customer needs. Significant partnerships with satellite operators and technology providers enhance Ovzon's service offerings and expand its market reach. Additionally, the company invests in developing proprietary satellite technology to improve service delivery and maintain a competitive edge in the market.

Ovzon AB Financial Statement Overview

Summary

Ovzon AB shows moderate revenue growth and improving cash flow positions, indicating potential for future growth. However, significant challenges remain in achieving profitability, with negative EBIT and net profit margins. The balance sheet is solid with a strong equity position, but the debt-to-equity ratio is moderately high. Overall, the company needs to focus on improving profitability and managing debt levels.

Income Statement

Ovzon AB has shown moderate revenue growth with a TTM increase of 7.49% from the previous year. However, the company is struggling with profitability, as indicated by negative EBIT and Net Profit Margins, which have improved slightly but are still significant at -20.61% and -34.26% respectively for TTM. The EBITDA margin turned positive at 21.17% in TTM, suggesting better operational efficiency. Overall, the company needs to focus on improving its profitability to enhance its financial standing.

Balance Sheet

Ovzon AB's balance sheet shows a solid equity position with an equity ratio of 62.16% in TTM, indicating strong shareholder backing. The debt-to-equity ratio is moderately high at 0.43, which could pose a risk if earnings do not improve. ROE remains negative due to ongoing net losses, reflecting the company's struggles to translate equity into profit. The company should aim to manage its debt levels while working towards profitability.

Cash Flow

The company's cash flow position has improved with positive operating cash flow and a notable shift to positive free cash flow in TTM. The free cash flow to net income ratio is -0.20, indicating challenges in converting income to free cash flow, though it has improved from previous periods. The cash flow to net income ratio is -0.98, suggesting operational cash generation is not yet sufficient to cover net losses. Continued focus on cash flow management is crucial.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	458.00M	334.00M	290.00M	356.99M	191.38M	160.48M
Gross Profit	259.00M	162.00M	85.00M	124.69M	24.60M	61.46M
EBITDA	170.00M	7.00M	-37.00M	-11.90M	-74.07M	-87.67M
Net Income	-85.00M	-162.00M	-60.00M	-36.19M	-83.85M	-104.05M
Balance Sheet
Total Assets	2.77B	2.77B	2.54B	1.92B	1.85B	1.33B
Cash, Cash Equivalents and Short-Term Investments	74.00M	126.00M	247.00M	275.61M	406.08M	185.03M
Total Debt	663.00M	775.00M	657.00M	478.05M	323.67M	5.34M
Total Liabilities	1.11B	1.18B	765.00M	528.85M	403.05M	36.75M
Stockholders Equity	1.66B	1.59B	1.78B	1.39B	1.45B	1.29B
Cash Flow
Free Cash Flow	-27.00M	-108.00M	-689.00M	-275.26M	-349.74M	-650.89M
Operating Cash Flow	43.00M	51.00M	-14.00M	-112.16M	-75.93M	-153.71M
Investing Cash Flow	-71.00M	-158.00M	-668.00M	-150.65M	-273.81M	-496.13M
Financing Cash Flow	-31.00M	-17.00M	651.00M	101.51M	558.62M	581.79M

Ovzon AB Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 35.30
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:OVZON, the sentiment is Neutral. The current price of 35.3 is below the 20-day moving average (MA) of 36.43, below the 50-day MA of 40.49, and above the 200-day MA of 28.59, indicating a neutral trend. The MACD of -1.38 indicates Negative momentum. The RSI at 39.71 is Neutral, neither overbought nor oversold. The STOCH value of 19.00 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for SE:OVZON.

Ovzon AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	60 Neutral	$47.27B	4.45	-11.27%	4.14%	1.88%	-40.90%
OVZON	43 Neutral	€3.94B	―	-4.90%	―	54.73%	11.77%
0QE6	―	kr115.09B	27.75	20.92%	―	―	―
CLCMF	―	$2.70B	―	-20.55%	―	―	―
TLSNF	―	$14.92B	35.09	11.23%	4.64%	―	―
ICQ	―	€1.39B	60.42	27.03%	―	―	―
BRE2	68 Neutral	kr3.12B	28.10		2.76%	9.75%	12.84%

Ovzon AB Corporate Events

Ovzon AB to Release Q2 2025 Results with Webcast Conference

Ovzon AB announced the release of its second quarter 2025 interim report, scheduled for August 15, 2025, at 08:00 CEST. A webcast telephone conference will follow at 10:00 CEST, where CEO Per Norén and CFO André Löfgren will present the report. The presentation will be available in English, with a live chat for questions in Swedish, and will be accessible on Ovzon’s website post-conference. This announcement reflects Ovzon’s commitment to transparency and engagement with stakeholders, potentially impacting its market positioning and investor relations.

Ovzon AB Announces Capital Markets Day 2025

Ovzon AB is hosting a Capital Markets Day on September 4, 2025, in Stockholm, Sweden, aimed at investors, analysts, and media. The event will feature presentations from company executives, providing insights into Ovzon’s business model, technology platform, and market position in mobile satellite communications for critical missions. This event is significant for stakeholders as it highlights Ovzon’s recent progress and future priorities, reinforcing its position in the industry.

Ovzon Secures Additional SEK 72 Million Order from Swedish Defence

Ovzon AB has secured an additional order valued at SEK 72 million from the Swedish Defence Materiel Administration (FMV) for its mobile satellite terminals, which will enhance the FMV’s operational capabilities. This order, complementing a previous SEK 1.04 billion contract, underscores Ovzon’s pivotal role in providing mission-critical communications solutions, reinforcing its market position in high-demand environments.

Ovzon Secures Landmark 1.04 Billion SEK Order from Swedish Defence

Ovzon AB has secured its largest order to date, valued at 1.04 billion SEK, from the Swedish Defence Materiel Administration for its SATCOM solution, which includes satellite network services, mobile satellite terminals, and customer support. This significant contract, which begins delivery in June 2025 and runs for 24 months, underscores Ovzon’s capability to meet critical operational needs and is expected to enhance its market position and accelerate company growth.

Ovzon Secures 5.7 MUSD Renewal for SATCOM Services

Ovzon AB has secured a 12-month renewal order worth 5.7 million USD from an existing European customer for its SATCOM-as-a-Service, which includes a high-performing satellite network and dedicated customer support. This renewal, matching the initial order value from March 2024, highlights Ovzon’s strategic role in supporting Europe’s defense posture amid geopolitical uncertainties.