Saab AB (SAAB.B) AI Stock Analysis

• Market Cap: kr299.08B
• Dividend Yield: 0.42%
• Average Volume (3M): 3.15M
• Price to Earnings (P/E): 57.7
• Beta (1Y): 0.75
• Revenue Growth: 22.75%
• EPS Growth: 41.68%
• Country: SE
• Employees: 25,369
• Sector: Industrials
• Sector Strength: 91
• Industry: Aerospace & Defense
• EPS (TTM): 2.83
• Shares Outstanding: 533,847,800
• 10 Day Avg. Volume: 2,321,149
• 30 Day Avg. Volume: 3,145,733
• PEG Ratio: 4.67
• Price to Book (P/B): 6.81
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 65.64
• 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: kr400.75
• Price Target Upside: -28.34% Downside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 4

• Rating: 78 Outperform
• Price Target: kr594.00 ▲(6.22%Upside)

Saab AB's overall stock score reflects its strong financial performance and positive guidance from the recent earnings call. The company's strategic growth in key segments and sustainability efforts contribute positively. However, relatively high valuation metrics and cash flow challenges present potential risks.

Saab AB Business Overview & Revenue Model

Company Description

Saab AB is a Swedish aerospace and defense company that specializes in developing, manufacturing, and marketing advanced systems and products for military defense and civil security. The company operates in various sectors including aeronautics, advanced weaponry, radar systems, and cyber security. Saab's core products and services include fighter aircraft like the Gripen, various missile systems, radar technologies, and command and control systems, catering primarily to government and defense agencies worldwide.

How the Company Makes Money

Saab AB generates revenue through the sale of its defense and security solutions to governments and defense agencies around the world. Key revenue streams include contracts for the development and production of fighter aircraft, missile systems, and radar technologies. Saab's business model is heavily reliant on securing long-term contracts with national governments and international defense organizations. Additionally, the company engages in partnerships and collaborations with other aerospace and defense companies to expand its product offerings and market reach. Research and development play a crucial role in maintaining the company's competitive edge and securing future contracts.

Saab AB Financial Statement Overview

Summary

Saab AB exhibits strong financial health with consistent revenue growth, solid profitability margins, and effective cash management. The balance sheet reflects prudent financial management with controlled leverage. Continuous improvement in free cash flow supports the company's financial flexibility. However, attention to debt levels is recommended.

Income Statement

Saab AB demonstrates strong growth in revenue and profitability. The TTM (Trailing-Twelve-Months) gross profit margin stands at 21.87%, and the net profit margin is 7.14%, indicating solid profitability. Revenue growth rate from 2024 to TTM is 2.52%, with a remarkable increase from 2023 to 2024 at 23.53%. EBIT and EBITDA margins are robust at 9.03% and 11.54%, respectively, underscoring effective cost management and operational efficiency.

Balance Sheet

The company maintains a stable balance sheet with a debt-to-equity ratio of 0.27, showing a conservative leverage approach. Return on equity (ROE) for TTM is 12.22%, indicating efficient use of shareholder capital. The equity ratio stands at 37.55%, reflecting a healthy proportion of equity financing. However, the incremental increase in total debt over time warrants monitoring.

Cash Flow

Saab AB displays strong cash flow generation with an operating cash flow to net income ratio of 1.96 in TTM, highlighting excellent cash conversion. The free cash flow to net income ratio is 0.84, indicating healthy cash retention after capital expenditures. The free cash flow growth rate from 2024 to TTM is an impressive 106.06%, demonstrating substantial improvement in cash efficiency.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	63.75B	51.61B	42.01B	39.15B	35.43B
Gross Profit	13.66B	11.26B	8.89B	8.21B	5.68B
EBITDA	8.49B	7.36B	4.84B	4.35B	2.75B
Net Income	4.17B	3.38B	2.19B	1.93B	1.07B
Balance Sheet
Total Assets	99.82B	82.76B	72.36B	65.04B	60.57B
Cash, Cash Equivalents and Short-Term Investments	11.74B	13.47B	12.86B	11.84B	10.38B
Total Debt	10.38B	10.04B	9.99B	9.72B	10.00B
Total Liabilities	64.01B	50.40B	42.49B	41.79B	38.92B
Stockholders Equity	35.50B	32.03B	29.49B	22.98B	21.47B
Cash Flow
Free Cash Flow	1.89B	2.92B	2.34B	3.19B	2.91B
Operating Cash Flow	6.73B	6.46B	4.65B	5.71B	5.80B
Investing Cash Flow	-4.18B	-5.92B	-2.44B	-4.70B	-4.00B
Financing Cash Flow	-1.93B	-1.23B	-1.18B	-1.64B	-1.13B

Saab AB Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 559.20
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:SAAB.B, the sentiment is Positive. The current price of 559.2 is above the 20-day moving average (MA) of 495.98, above the 50-day MA of 477.72, and above the 200-day MA of 334.35, indicating a bullish trend. The MACD of 7.77 indicates Negative momentum. The RSI at 68.30 is Neutral, neither overbought nor oversold. The STOCH value of 44.76 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SE:SAAB.B.

Saab AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SAAB.B	78 Outperform	kr299.08B	57.71	13.06%	0.42%	22.75%	41.68%
ATCO.B	78 Outperform	kr701.14B	22.83	28.28%	2.11%	0.54%	1.79%
SAND	76 Outperform	kr297.54B	20.54	16.41%	2.40%	-1.82%	12.60%
ALFA	74 Outperform	kr172.03B	23.14	18.80%	2.04%	6.40%	18.28%
HEXA.B	70 Outperform	kr276.49B	24.80	9.32%	1.53%	-1.12%	14.34%
EPI.A	68 Neutral	kr251.60B	29.90		1.75%	3.92%	4.96%
Sector *	58 Neutral	HK$14.28B	4.63	-3.01%	6.76%	3.67%	-54.16%

Saab AB Corporate Events

Saab Reports Strong Q2 2025 Results with Upward Growth Outlook

Saab AB reported strong financial results for Q2 2025, showcasing significant growth in sales and profitability. The company saw a 32% organic sales growth, with a notable 73% increase in the Dynamics sector. Despite a negative operational cash flow due to capacity investments, Saab’s net income rose by 53%, and the company improved its net liquidity position. The outlook for 2025 has been revised upwards, with expectations of organic sales growth between 16-20% and continued EBIT growth.

The most recent analyst rating on ($SE:SAAB.B) stock is a Hold with a SEK225.00 price target. To see the full list of analyst forecasts on Saab AB stock, see the SE:SAAB.B Stock Forecast page.

France Intends to Procure Saab’s GlobalEye Aircraft

Saab and France’s defence procurement agency have signed a joint declaration of intent for France to acquire Saab’s GlobalEye Early Warning and Control aircraft, enhancing French Armed Forces’ situational awareness across multiple domains. This potential procurement, announced at the Paris Air Show, signifies a strategic move for Saab, potentially strengthening its position in the defence industry through expanded operations in France.

The most recent analyst rating on ($SE:SAAB.B) stock is a Sell with a SEK375.00 price target. To see the full list of analyst forecasts on Saab AB stock, see the SE:SAAB.B Stock Forecast page.

Royal Thai Air Force Selects Saab’s Gripen E/F Fighter

The Royal Thai Air Force has selected Saab’s Gripen E/F as its new multi-role fighter, marking a significant step in their procurement process with Saab and the Swedish Defence Materiel Administration. Although no contract has been signed yet, the selection includes a long-term offset package aimed at enhancing Thailand’s national security and strategic independence, potentially creating jobs and investments across various sectors.

The most recent analyst rating on ($SE:SAAB.B) stock is a Hold with a SEK245.00 price target. To see the full list of analyst forecasts on Saab AB stock, see the SE:SAAB.B Stock Forecast page.

Saab’s Strategic Focus on Growth and Innovation at Capital Markets Day 2025

At its Capital Markets Day 2025, Saab announced strategic priorities aimed at future growth, including capacity expansion, digital transformation, and accelerated development of future capabilities. The company plans to scale up operations, focus on market expansion, and enhance its technological leadership through partnerships and mergers. Saab’s commitment to innovation and empowering its workforce positions it well for capturing market opportunities and achieving sustainable value creation.

The most recent analyst rating on ($SE:SAAB.B) stock is a Sell with a SEK375.00 price target. To see the full list of analyst forecasts on Saab AB stock, see the SE:SAAB.B Stock Forecast page.