Rusta AB (RUSTA) AI Stock Analysis

• Market Cap: kr9.80B
• Dividend Yield: 1.83%
• Average Volume (3M): 258.85K
• Price to Earnings (P/E): 23.1
• Beta (1Y): 0.74
• Revenue Growth: 6.30%
• EPS Growth: -7.18%
• Country: SE
• Employees: 4,752
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Department Stores
• EPS (TTM): 1.14
• Shares Outstanding: 153,528,980
• 10 Day Avg. Volume: 585,910
• 30 Day Avg. Volume: 258,846
• 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: kr67.00
• Price Target Upside: 3.24% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 58 Neutral
• Price Target: kr67.00 ▲(3.24% Upside)

Rusta AB's overall stock score reflects strong financial performance with robust revenue and profitability growth. However, technical analysis indicates bearish momentum, and the valuation suggests the stock may be overvalued. The lack of earnings call data and notable corporate events limits additional insights.

Rusta AB Business Overview & Revenue Model

Company Description

Rusta AB (publ) retails home and leisure products in Sweden, Norway, Finland, and Germany. It offers small furniture, lighting, rug and textile, kitchenware, table wear, and other decoration products; beauty, cleaning article, and disposal, as well as health related snack products. The company provides Christmas decorations, garden, and holiday items; home, travel, smart accessories; and paint, flooring, wallpaper, tools, equipment, and other home improvement products. It sells its products through stores and online. The company was founded in 1986 and is based in Upplands Väsby, Sweden.

How the Company Makes Money

Rusta AB generates revenue primarily through the sale of its extensive product range across its physical retail locations and online platforms. The company's key revenue streams include in-store sales from its department stores, which serve as the primary point of interaction with customers. Additionally, Rusta leverages e-commerce channels to capture online sales, reaching a broader audience beyond its physical presence. The company benefits from economies of scale by sourcing products directly from manufacturers, which helps in maintaining low prices and high margins. Strategic partnerships with suppliers and a strong supply chain management system also contribute to its profitability by ensuring a steady flow of products and efficient inventory management. Moreover, seasonal promotions and marketing campaigns drive customer footfall and sales, enhancing revenue during peak buying periods.

Rusta AB Financial Statement Overview

Summary

Rusta AB exhibits strong financial performance with robust revenue and profitability growth, supported by effective cost management. The company maintains a solid return on equity, but the high debt-to-equity ratio poses potential risks. Cash flows are strong, driven by substantial operating activities but impacted by increased capital expenditures.

Income Statement

Rusta AB demonstrated strong revenue growth with a 6.4% increase in the latest year, along with improved profitability metrics. The gross profit margin remained healthy at 43.1%, and the net profit margin increased to 4.0%, indicating efficient cost management. EBIT and EBITDA margins showed solid stability at 7.2% and 15.4%, respectively. Overall, the income statement reflects robust growth and improved profitability.

Balance Sheet

The balance sheet of Rusta AB shows a moderate level of leverage with a debt-to-equity ratio of 3.24, which is relatively high and could pose risks if not managed properly. However, there has been an increase in stockholders' equity, improving the equity ratio to 18.6%. Return on Equity (ROE) is strong at 27.3%, indicating good returns for shareholders. The balance sheet displays a mix of positive shareholder returns but also highlights potential risks due to its leverage.

Cash Flow

Rusta AB's cash flow analysis reveals a significant reliance on operating cash flow, which is double the net income, suggesting strong cash generation capabilities. However, free cash flow decreased by 41% year-over-year, reflecting higher capital expenditures. The free cash flow to net income ratio remains healthy at 1.53, indicating efficient cash conversion despite the decline. Overall, cash flows are solid but reflect increased investment activities.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	11.83B	11.83B	11.12B	10.20B	9.49B	8.63B
Gross Profit	5.10B	5.09B	4.83B	4.19B	4.01B	3.64B
EBITDA	1.83B	1.82B	1.71B	1.35B	1.55B	1.31B
Net Income	477.00M	476.00M	408.00M	261.00M	615.30M	401.20M
Balance Sheet
Total Assets	9.35B	9.35B	9.10B	8.85B	8.19B	6.96B
Cash, Cash Equivalents and Short-Term Investments	99.00M	99.00M	171.00M	182.20M	169.70M	66.00M
Total Debt	5.66B	5.66B	5.72B	5.93B	5.17B	4.50B
Total Liabilities	7.61B	7.61B	7.50B	7.58B	6.92B	5.97B
Stockholders Equity	1.74B	1.74B	1.59B	1.27B	1.26B	988.60M
Cash Flow
Free Cash Flow	727.00M	727.00M	1.23B	834.30M	367.90M	265.80M
Operating Cash Flow	1.12B	1.12B	1.40B	1.01B	624.90M	744.80M
Investing Cash Flow	-405.00M	-405.00M	-165.00M	-172.40M	607.20M	-387.50M
Financing Cash Flow	-790.00M	-791.00M	-1.24B	-825.80M	-1.13B	-356.90M

Rusta AB Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 64.90
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:RUSTA, the sentiment is Negative. The current price of 64.9 is below the 20-day moving average (MA) of 70.51, below the 50-day MA of 74.20, and below the 200-day MA of 74.77, indicating a bearish trend. The MACD of -3.14 indicates Positive momentum. The RSI at 35.31 is Neutral, neither overbought nor oversold. The STOCH value of 8.47 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:RUSTA.

Rusta AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CLAS.B	70 Outperform	24.78B	26.29	35.98%	1.45%	10.84%	38.46%
THULE	66 Neutral	27.28B	26.05	14.76%	3.62%	7.35%	-10.34%
HUSQ.B	63 Neutral	28.84B	22.55	5.19%	38.70%	-2.20%	-25.14%
RUSTA	58 Neutral	kr9.80B	23.12		1.83%	6.30%	-7.18%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%

Rusta AB Corporate Events

Rusta AB Accelerates Expansion with Six New Nordic Stores

Rusta AB is undergoing a significant expansion phase, with plans to open six new stores across its Nordic markets in autumn 2025. This expansion reflects a revised forecast to establish 50-80 new stores over the next three years, highlighting Rusta’s strategy to strengthen its position in the Nordic variety hard discount market. The openings include the company’s first city location in Helsinki, indicating a strategic move to enhance its market presence and growth.

The most recent analyst rating on (SE:RUSTA) stock is a Hold with a SEK82.00 price target. To see the full list of analyst forecasts on Rusta AB stock, see the SE:RUSTA Stock Forecast page.

Rusta AB to Present Q1 2025/2026 Interim Report

Rusta AB announced the presentation of its first quarter 2025/2026 interim report, scheduled for September 11, 2025. The report will be presented by CEO Göran Westerberg and CFO Sofie Malmunger, and will be available via webcast and teleconference, reflecting the company’s commitment to transparency and stakeholder engagement.

The most recent analyst rating on (SE:RUSTA) stock is a Hold with a SEK81.00 price target. To see the full list of analyst forecasts on Rusta AB stock, see the SE:RUSTA Stock Forecast page.

Rusta AB Releases Comprehensive Annual and Sustainability Report

Rusta AB has released its Annual and Sustainability Report, detailing both financial and non-financial performance in alignment with GRI Standards. The report, available in Swedish and English, highlights the company’s commitment to sustainability and provides insights into its operations across various markets, including Sweden and Norway. This comprehensive report underscores Rusta’s strategic focus on sustainable growth and its impact on stakeholders.

The most recent analyst rating on (SE:RUSTA) stock is a Hold with a SEK81.00 price target. To see the full list of analyst forecasts on Rusta AB stock, see the SE:RUSTA Stock Forecast page.

Rusta AB Announces Board Changes Ahead of AGM 2025

Rusta AB’s nomination committee has proposed changes to its board of directors ahead of the Annual General Meeting on September 19, 2025. Claus Juel-Jensen is proposed as the new chairman, bringing over 25 years of retail experience, which is expected to aid Rusta’s expansion efforts. The committee suggests re-electing six current members and electing two new members, Eva-Lotta Sjöstedt and Åsa Källenius, while two members have declined re-election. These changes are anticipated to strengthen Rusta’s position as a leading retailer in the low-price market.

Rusta AB Announces Annual General Meeting for September 2025

Rusta AB has announced its annual general meeting scheduled for September 19, 2025, in Upplands Väsby, Sweden. Shareholders are required to register by September 15, 2025, to participate either in person, by proxy, or through postal voting. The agenda includes the election of the board, approval of financial statements, and a resolution on a long-term incentive program.