Vestum AB (VESTUM) AI Stock Analysis

• Market Cap: kr3.60B
• Dividend Yield: N/A
• Average Volume (3M): 361.44K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.71
• Revenue Growth: -27.41%
• EPS Growth: 49.11%
• Country: SE
• Employees: 1,338
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): -0.25
• Shares Outstanding: 375,809,480
• 10 Day Avg. Volume: 274,035
• 30 Day Avg. Volume: 361,435
• PEG Ratio: 0.38
• Price to Book (P/B): 0.94
• Price to Sales (P/S): 0.88
• P/FCF Ratio: 14.43
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 0.59
• Revenue Forecast (FY): kr4.13B

• Rating: 51 Neutral
• Price Target: kr9.50 ▲(12.56% Upside)
• Action: Reiterated Date: 02/18/26
• Date: Action: Reiterated 02/18/26

The score is held back primarily by weak financial performance driven by revenue decline and ongoing losses, partially offset by positive free cash flow and manageable leverage. Technicals are supportive with price above key moving averages and positive MACD, but elevated RSI signals stretched momentum. Valuation also weighs on the score because earnings are negative (P/E below zero) and no dividend yield data is available.

Positive Factors

Consistent positive free cash flow

Consistent positive operating and free cash flow from 2022–2025, with FCF improving ~17.9% in 2025, provides durable liquidity. This cash generation supports reinvestment, servicing debt and funding the buy-and-build strategy even while accounting earnings stay negative.

Material gross margin improvement

A rise in gross margin from ~45.7% to ~52.0% signals structural improvement in pricing, mix or cost control. Higher sustainable gross margins enhance ability to reach operating profitability as revenue stabilizes and improve long-term cash conversion for portfolio companies.

Buy-and-build infrastructure portfolio model

The acquisitive model targets specialized infrastructure niches, creating diversified cash flows across subsidiaries. That structural approach can deliver scale, operational improvement and cross-company synergies over time, supporting stable demand from infrastructure-related end markets.

Negative Factors

Multi-year revenue contraction

Sustained revenue decline across multiple years reduces scale and weakens operating leverage. Ongoing shrinkage makes it harder to absorb fixed costs, realize acquisition synergies, and sustain margin improvements, challenging durable profitability recovery.

Persistent net losses

Net losses for 2023–2025 and a negative 2025 margin (~-3.6%) indicate profitability has not normalized. Continued losses erode retained earnings, limit internal funding for growth and increase dependency on external capital for acquisitions or to smooth investment cycles.

Eroding equity with moderate leverage

Declining equity combined with ~0.69 debt-to-equity raises structural balance-sheet risk. Eroding capital reduces headroom for shocks and constrains funding flexibility for further bolt-on acquisitions, potentially forcing costlier financing or equity issuance.

Vestum AB Business Overview & Revenue Model

Company Description

Vestum AB (publ) engages in the clothes manufacturing and sale, construction, and infrastructure businesses in Sweden. The company designs, markets, and sells clothes and accessories, including urban functional garments in the premium streetwear segment under the WeSC brand for women and men in Sweden and internationally. It also provides demolition, remediation, and drilling services with a focus on construction-related, insurance, and real estate companies; contractor services for the assembly and installation of automation and passage systems for companies, municipalities, and private individuals; construction services primarily in the areas of railway environment and public transport projects; and aluminum and glass solutions to the housing and construction markets for customers in the segments of retailers, small house manufacturers, glaziers, construction companies, and private. In addition, the company engages in renting and selling containers and road products for construction-related operations, which include refrigerated, storage, construction, and office containers, as well as drive plates; the ground, assembly, and construction works related to infrastructure, such as roads, railways, pipelines, and communications; the supply of electrical installations and designs; and the provision of works related to power and lighting in private and public environments. It offers its clothes and accessories through e-commerce and resellers. The company was formerly known as WeSC AB (publ) and changed its name to Vestum AB (publ) in June 2021. Vestum AB (publ) was incorporated in 1999 and is based in Stockholm, Sweden.

How the Company Makes Money

Vestum generates revenue through its diversified portfolio of companies in the construction and infrastructure industries. The primary revenue streams include service contracts for construction projects, electrical installations, and environmental services. Additionally, Vestum benefits from operational efficiencies and cost synergies achieved through its acquisitions. The company may also engage in strategic partnerships with other firms to expand its market reach and service offerings, further contributing to its earnings. By leveraging a buy-and-build strategy, Vestum enhances its revenue potential through the integration of acquired companies and the optimization of their operations.

Vestum AB Financial Statement Overview

Summary

Overall fundamentals are mixed. Income statement quality is weak (score 42) due to multi-year revenue contraction and net losses in 2023–2025, despite improved gross margin and narrower losses versus 2024. Balance sheet is fair (score 58) with moderate leverage (debt-to-equity ~0.69 in 2025) but declining equity and negative ROE. Cash flow is the main support (score 63) with positive operating and free cash flow in 2022–2025 and improved FCF in 2025.

Income Statement

Revenue has been shrinking for several years (2023: -0.17, 2024: -0.23, 2025: -4.50), and profitability remains pressured with net losses in 2023–2025 (2025 net margin about -3.6%). The positive is that gross margin has improved materially (about 45.7% in 2022 to ~52.0% in 2025) and losses have narrowed versus 2024, but operating profitability has weakened over time with EBIT margin down to ~2.4% in 2025 from mid-single-digits in 2022–2023.

Balance Sheet

Leverage looks moderate with debt-to-equity around 0.69 in 2025 (and generally in the ~0.55–0.77 range since 2022), supported by positive equity. However, equity has drifted down from 2022 to 2025 and returns on equity are negative in 2023–2025, reflecting ongoing net losses. Overall balance sheet risk appears manageable, but profitability needs to recover to protect the capital base.

Cash Flow

Cash generation is a relative strength: operating cash flow and free cash flow are positive in 2022–2025, with free cash flow improving in 2025 (up ~17.9%). Even with reported net losses, free cash flow remains solid (2025 free cash flow is ~0.74x the net loss magnitude), indicating decent cash conversion. The main weakness is that operating cash flow is not consistently strong relative to operating earnings (coverage below 1 across the period), and cash flow was negative in 2020–2021, showing some historical volatility.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	3.78B	4.42B	5.76B	6.93B	1.05B
Gross Profit	1.97B	2.16B	2.69B	3.17B	654.00M
EBITDA	556.00M	674.00M	836.00M	773.00M	165.00M
Net Income	-137.00M	-374.00M	-374.00M	141.00M	3.00M
Balance Sheet
Total Assets	6.76B	7.63B	8.38B	9.95B	8.32B
Cash, Cash Equivalents and Short-Term Investments	177.00M	174.00M	345.00M	608.00M	1.52B
Total Debt	2.09B	2.14B	2.45B	3.38B	3.00B
Total Liabilities	3.18B	3.70B	4.32B	5.57B	4.72B
Stockholders Equity	3.56B	3.91B	4.05B	4.37B	3.59B
Cash Flow
Free Cash Flow	231.00M	333.00M	566.00M	361.00M	-85.00M
Operating Cash Flow	314.00M	377.00M	634.00M	421.00M	-10.00M
Investing Cash Flow	-143.00M	-275.00M	-32.00M	-1.27B	-2.58B
Financing Cash Flow	-152.00M	-416.00M	-860.00M	-48.00M	3.78B

Vestum AB Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 8.44
• 50DMA: Positive
• 100DMA: Positive
• 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:VESTUM, the sentiment is Positive. The current price of 8.44 is below the 20-day moving average (MA) of 9.34, below the 50-day MA of 8.66, and below the 200-day MA of 9.03, indicating a bullish trend. The MACD of 0.28 indicates Positive momentum. The RSI at 59.98 is Neutral, neither overbought nor oversold. The STOCH value of 43.82 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SE:VESTUM.

Vestum AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BYGGP	72 Outperform	kr2.04B	14.95	―	1.24%	4.25%	127.31%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
VESTUM	51 Neutral	kr3.60B	-24.33	-3.72%	―	-27.41%	49.11%
NORB.B	50 Neutral	kr692.58M	28.32	2.34%	―	4.24%	29.69%
ELTEL	48 Neutral	kr1.39B	58.96	0.72%	―	-6.38%	―
FG	46 Neutral	kr1.21B	-2.51	―	―	8.40%	-101.19%
WBGR.B	42 Neutral	kr432.48M	-0.77	-73.61%	―	-0.02%	-50.72%

Vestum AB Corporate Events

Vestum Tightens Portfolio as 2025 Profitability Holds Up Amid Lower Sales

Vestum reported weaker full-year 2025 sales and earnings but improved profitability metrics in the final quarter, as adjusted EBITA margin rose to 10.8% in Q4 despite net sales declining to SEK 975 million. For the full year, net sales fell to SEK 3.8 billion and operating profit halved, leaving the group with a loss per share and prompting the board to propose no dividend.

Management continued reshaping the portfolio, completing several divestments, fully redeeming its last outstanding bond, and acquiring Nortech Management and Dynamic Fluid Solutions to strengthen flow technology operations. After year-end, Vestum sold additional units and decided to structurally separate parts of its Flow Technology segment, while also expanding its credit facility, underscoring an ongoing focus on balance sheet flexibility and strategic repositioning.

The most recent analyst rating on (SE:VESTUM) stock is a Hold with a SEK8.00 price target. To see the full list of analyst forecasts on Vestum AB stock, see the SE:VESTUM Stock Forecast page.

Vestum to Split Flow Technology Operations and Streamline Swedish Core Business

Vestum AB is restructuring its operations by splitting parts of its Flow Technology segment into a separate water infrastructure-focused group and retaining a core Swedish industry and infrastructure business, reflecting two distinct business logics with limited synergies. The separated flow technology companies, including several UK, Nordic and Swedish units, generated about SEK 1.3 billion in sales and strong profitability in 2025, while the remaining 20 Swedish companies posted SEK 2.3 billion in sales and are targeting improved margins through lower central costs.

The board will evaluate strategic options for the separated Flow Technology business, including a potential sale, and has hired Danske Bank as financial adviser to seek the best value for shareholders. Vestum is also exiting six smaller, loss-making companies for about SEK 70 million, which will leave the group entirely Sweden-based, and is implementing leadership changes that could see current CEO Simon Göthberg move to lead the separated unit while chairman and largest shareholder Conny Ryk steps in as acting chairman and potentially future CEO of the remaining group.

The most recent analyst rating on (SE:VESTUM) stock is a Hold with a SEK8.00 price target. To see the full list of analyst forecasts on Vestum AB stock, see the SE:VESTUM Stock Forecast page.

Vestum Nomination Committee Backs Board and Auditor Re-elections Ahead of 2026 AGM

Vestum’s Nomination Committee is proposing the re-election of current board members Per Åhlgren, Johan Heijbel, Anders Rosenqvist and Caroline Atelius, along with the re-election of Conny Ryk as chairman of the board, in a move that signals continuity in the company’s governance and strategic direction. The committee also recommends that Öhrlings PricewaterhouseCoopers AB be reappointed as auditor until the next annual general meeting, with the full slate of proposals to be presented at Vestum’s AGM on 29 April 2026 at the company’s Stockholm headquarters, underscoring a steady course for investors and other stakeholders.

The most recent analyst rating on (SE:VESTUM) stock is a Hold with a SEK8.00 price target. To see the full list of analyst forecasts on Vestum AB stock, see the SE:VESTUM Stock Forecast page.

Vestum to Present 2025 Year-End Results via Webcast and Teleconference

Vestum AB will publish its year-end report for 2025 on 12 February 2026 at 07:00 CET and will host an English-language webcast and teleconference later that morning, where CEO Simon Göthberg and CFO Olof Andersson will present the results and take questions. The company will make presentation materials available on its website ahead of the event, offering investors and other stakeholders structured access to management’s review of the 2025 performance and outlook, underlining Vestum’s efforts to maintain transparency and engagement with the capital market.

The most recent analyst rating on (SE:VESTUM) stock is a Hold with a SEK8.00 price target. To see the full list of analyst forecasts on Vestum AB stock, see the SE:VESTUM Stock Forecast page.