SSAB Corporation (SSAB.B) AI Stock Analysis

• Market Cap: kr55.66B
• Dividend Yield: 4.68%
• Average Volume (3M): 3.14M
• Price to Earnings (P/E): 12.3
• Beta (1Y): 1.18
• Revenue Growth: -10.87%
• EPS Growth: -55.90%
• Country: SE
• Employees: 14,637
• Sector: Basic Materials
• Sector Strength: 60
• Industry: Steel
• EPS (TTM): 1.86
• Shares Outstanding: 700,651,370
• 10 Day Avg. Volume: 2,373,143
• 30 Day Avg. Volume: 3,136,920
• PEG Ratio: -0.14
• Price to Book (P/B): 0.62
• Price to Sales (P/S): 0.42
• P/FCF Ratio: 11.89
• 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: kr65.00
• Price Target Upside: 17.12% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 61 Neutral
• Price Target: kr57.00 ▲(2.70% Upside)

SSAB Corporation's overall stock score reflects a combination of mixed financial performance, bearish technical indicators, and attractive valuation. The company's strong balance sheet and reasonable P/E ratio are positive factors, but declining margins, cash flow issues, and bearish technical signals weigh on the score. The absence of recent earnings call data and corporate events limits additional insights.

SSAB Corporation Business Overview & Revenue Model

Company Description

SSAB Corporation (SSAB.B) is a leading global steel company headquartered in Sweden, specializing in the production of high-strength steel and value-added steel products. The company operates through multiple segments, including Steel Solutions, which focuses on advanced high-strength steels, and the Special Steels segment that caters to demanding applications in various industries such as automotive, construction, and machinery. SSAB is known for its commitment to sustainability and innovation, offering products that enhance efficiency and reduce environmental impact.

How the Company Makes Money

SSAB generates revenue primarily through the sale of steel products, which include hot-rolled, cold-rolled, and coated steel sheets, as well as various specialty steels. The company's revenue model is largely based on the direct sale of these products to a diverse range of industries, including automotive, construction, and engineering. Key revenue streams include bulk sales to large industrial clients, customized solutions for specific applications, and the provision of related services such as processing and logistics. Additionally, SSAB engages in strategic partnerships with automotive manufacturers and suppliers to develop advanced steel solutions tailored for electric vehicles and other innovative applications, which further contribute to its earnings. The company also benefits from global demand for high-strength steel, especially in regions with growing infrastructure and automotive production.

SSAB Corporation Financial Statement Overview

Summary

SSAB Corporation demonstrates financial stability with a strong balance sheet and effective cash generation. However, its income statement reflects pressures on revenue and profitability, with declining growth rates and moderate margins that require improvement.

Income Statement

The TTM (Trailing-Twelve-Months) income statement shows a decline in total revenue and net income compared to the previous year, indicating challenges in maintaining growth. Gross profit margin is at 12.52%, and net profit margin is at 4.98%, both of which are relatively moderate for the steel industry. The EBIT margin of 6.03% and EBITDA margin of 10.10% suggest operational efficiency but highlight the need for cost control and revenue growth to enhance profitability.

Balance Sheet

SSAB Corporation's balance sheet reveals a strong equity position with an equity ratio of 65.51%, indicating financial stability. The debt-to-equity ratio is 0.14, which is low, showcasing prudent debt management. Return on equity (ROE) is 7.43%, reflecting moderate returns for shareholders. The solid equity base and low leverage suggest resilience against market fluctuations.

Cash Flow

The cash flow statements indicate a decrease in free cash flow from the previous year, with a free cash flow of SEK 1.89 billion in the TTM period. The operating cash flow to net income ratio is 1.84, showing strong cash generation ability. However, the negative growth in free cash flow signals potential challenges in sustaining cash generation amidst capital expenditures.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	99.14B	103.45B	119.49B	124.98B	95.89B	65.39B
Gross Profit	11.79B	14.52B	22.55B	-2.12B	23.47B	3.78B
EBITDA	9.40B	13.29B	21.26B	32.62B	22.21B	3.51B
Net Income	4.51B	6.52B	13.03B	-10.88B	14.66B	-490.00M
Balance Sheet
Total Assets	102.49B	110.73B	107.84B	109.71B	112.02B	88.60B
Cash, Cash Equivalents and Short-Term Investments	20.30B	27.81B	28.92B	24.90B	13.80B	7.05B
Total Debt	9.41B	10.15B	10.62B	10.68B	12.51B	17.45B
Total Liabilities	35.45B	39.71B	39.89B	42.52B	38.51B	34.51B
Stockholders Equity	67.00B	70.97B	67.87B	67.12B	73.48B	53.99B
Cash Flow
Free Cash Flow	-914.00M	3.68B	14.91B	13.21B	11.49B	2.16B
Operating Cash Flow	9.04B	11.90B	21.47B	18.16B	14.87B	4.37B
Investing Cash Flow	-7.71B	-6.61B	-5.29B	-3.89B	-2.27B	-2.18B
Financing Cash Flow	-5.31B	-5.20B	-12.77B	-723.00M	-5.03B	685.00M

SSAB Corporation Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 55.50
• 50DMA: Negative
• 100DMA: Negative
• 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:SSAB.B, the sentiment is Negative. The current price of 55.5 is below the 20-day moving average (MA) of 56.79, below the 50-day MA of 57.36, and above the 200-day MA of 54.38, indicating a neutral trend. The MACD of -0.76 indicates Positive momentum. The RSI at 45.56 is Neutral, neither overbought nor oversold. The STOCH value of 65.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:SSAB.B.

SSAB Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BOL	69 Neutral	kr90.01B	11.03	12.34%	―	12.29%	3.23%
HPOL.B	68 Neutral	kr28.74B	14.01	14.46%	5.03%	-4.96%	-17.47%
BILL	64 Neutral	kr21.52B	11.71	6.73%	4.01%	6.04%	162.11%
SSAB.B	61 Neutral	kr55.66B	12.26	6.67%	4.68%	-10.87%	-55.90%
Sector *	59 Neutral	kr29.94B	0.02	-5.14%	3.50%	2.14%	-25.19%
STE.R	54 Neutral	kr86.32B	―		2.30%	4.81%	―
STE.A	49 Neutral	kr86.32B	―		2.26%	4.81%	―