Sandvik AB (SAND) AI Stock Analysis

• Market Cap: kr338.31B
• Dividend Yield: 2.15%
• Average Volume (3M): 1.91M
• Price to Earnings (P/E): 23.3
• Beta (1Y): 1.38
• Revenue Growth: -1.82%
• EPS Growth: 12.60%
• Country: SE
• Employees: 41,400
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): 2.56
• Shares Outstanding: 1,254,385,900
• 10 Day Avg. Volume: 2,399,798
• 30 Day Avg. Volume: 1,914,646
• 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: kr252.92
• Price Target Upside: -6.22% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 12

• Rating: 76 Outperform
• Price Target: kr239.00 ▼(-11.38% Downside)

Sandvik AB scores well due to strong financial performance and momentum indicators. While the stock shows bullish trends, potential overbought conditions and monitored revenue growth could pose future challenges. Valuation is fair, providing a balanced investment opportunity.

Sandvik AB Business Overview & Revenue Model

Company Description

Sandvik AB is a global engineering company based in Sweden, specializing in advanced materials and cutting-edge technology solutions. The company operates in three main business areas: Sandvik Mining and Rock Solutions, which offers equipment and tools for mining and construction; Sandvik Machining Solutions, providing tools and services for metal cutting; and Sandvik Materials Technology, focused on high-performance materials for industries such as aerospace, energy, and medical. With a strong emphasis on innovation, sustainability, and efficiency, Sandvik delivers a wide range of products including steel, cemented carbide, and various mining equipment.

How the Company Makes Money

Sandvik generates revenue primarily through the sale of its products and services across its three business segments. Key revenue streams include the sale of mining equipment, metal cutting tools, and advanced materials. The company serves a diverse customer base, including mining companies, manufacturers in various industries, and suppliers in the aerospace and energy sectors. Additionally, Sandvik benefits from service agreements and aftermarket sales, which provide ongoing revenue through maintenance, repairs, and spare parts. Strategic partnerships with other companies and investment in research and development also enhance its market position and contribute to its earnings by driving innovation and expanding its product offerings.

Sandvik AB Financial Statement Overview

Summary

Sandvik AB demonstrates strong financial performance with a robust net profit margin, healthy gross profit margin, and strong cash flow generation. The company's balance sheet is solid, with zero debt, though revenue growth needs monitoring.

Income Statement

Sandvik AB has demonstrated strong financial performance with a consistent increase in total revenue over the years, highlighted by a TTM (Trailing-Twelve-Months) revenue of 123.18 billion SEK. The gross profit margin has remained healthy at around 41%, reflecting efficient cost management. The TTM net profit margin is robust at 11.96%, with EBIT and EBITDA margins further indicating strong operational efficiency. Revenue growth has been steady, though there was a slight decline from 2023 to 2024, which could be an area of concern if it continues.

Balance Sheet

Sandvik's balance sheet shows a solid equity position with a total equity of 92.87 billion SEK in the latest TTM period, resulting in a commendable equity ratio of 52.93%. The company has significantly reduced its debt, with a debt-to-equity ratio now at zero, indicating financial prudence and reduced leverage risk. However, the decrease in total assets may point to divestitures or other strategic realignments that need to be monitored.

Cash Flow

The cash flow statement reveals strong operational cash flow generation, with a TTM operating cash flow of 18.61 billion SEK. The free cash flow has grown significantly, showcasing effective capital management and investment strategies. The operating cash flow to net income and free cash flow to net income ratios are healthy, suggesting efficient conversion of profits into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	121.46B	122.88B	126.50B	112.33B	99.11B	86.40B
Gross Profit	49.46B	49.14B	52.05B	45.37B	40.17B	32.24B
EBITDA	28.94B	26.99B	29.75B	25.86B	23.72B	17.88B
Net Income	14.49B	12.24B	15.30B	11.21B	14.46B	8.73B
Balance Sheet
Total Assets	173.49B	184.38B	174.21B	176.68B	155.52B	119.13B
Cash, Cash Equivalents and Short-Term Investments	3.45B	4.53B	4.36B	10.49B	13.59B	23.75B
Total Debt	0.00	42.76B	45.08B	52.06B	34.35B	17.89B
Total Liabilities	85.78B	87.39B	86.51B	95.41B	78.19B	54.05B
Stockholders Equity	87.65B	96.92B	87.63B	81.23B	77.20B	65.08B
Cash Flow
Free Cash Flow	15.99B	15.77B	13.44B	5.93B	9.60B	12.15B
Operating Cash Flow	20.51B	20.61B	18.80B	10.46B	13.18B	15.35B
Investing Cash Flow	-8.12B	-7.67B	-8.51B	-20.30B	-26.19B	-4.78B
Financing Cash Flow	-13.96B	-12.99B	-16.21B	6.22B	2.49B	-3.31B

Sandvik AB Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 269.70
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:SAND, the sentiment is Positive. The current price of 269.7 is above the 20-day moving average (MA) of 258.81, above the 50-day MA of 247.07, and above the 200-day MA of 221.61, indicating a bullish trend. The MACD of 6.22 indicates Negative momentum. The RSI at 68.84 is Neutral, neither overbought nor oversold. The STOCH value of 87.93 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SE:SAND.

Sandvik AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ATCO.B	78 Outperform	kr803.12B	26.02	28.28%	1.91%	-2.31%	-4.41%
SAND	76 Outperform	kr338.31B	23.35	16.41%	2.15%	-1.82%	12.60%
ALFA	72 Outperform	kr185.67B	23.13	20.37%	1.89%	2.66%	19.90%
ATCO.A	71 Outperform	kr803.12B	29.49	28.28%	1.71%	-2.31%	-4.41%
BEIJ.B	66 Neutral	kr76.04B	31.99	10.73%	0.90%	11.65%	-2.60%
TREL.B	66 Neutral	kr79.99B	22.89	9.31%	2.07%	2.42%	4.02%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

Sandvik AB Corporate Events

Sandvik AB Reports Stable Q2 2025 with Strategic Growth Initiatives

Sandvik AB reported stable order intake and a slight decrease in revenues for Q2 2025, with strategic acquisitions and restructuring initiatives in place to bolster growth. Despite challenges, the company maintained strong momentum in its mining segment, achieved record order levels, and continued to focus on expanding its presence in high-growth areas, demonstrating resilience and adaptability in a challenging geopolitical and macroeconomic environment.

The most recent analyst rating on (SE:SAND) stock is a Buy with a SEK244.00 price target. To see the full list of analyst forecasts on Sandvik AB stock, see the SE:SAND Stock Forecast page.