ScoreWhy is AAK AB ?
1
High Management Efficiency with a high ROCE of 16.40%
2
Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 14.40
3
Flat results in Jun 25
- OPERATING CASH FLOW(Y) Lowest at SEK 665 MM
- RAW MATERIAL COST(Y) Grown by 25.17% (YoY)
- OPERATING PROFIT(Q) Lowest at SEK 1,070 MM
4
With ROE of 18.40%, it has a expensive valuation with a 3.53 Price to Book Value
- The stock is trading at a premium compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of -12.68%, its profits have fallen by -1.3%
5
Underperformed the market in the last 1 year
- Even though the market (OMX Stockholm 30) has generated returns of 8.01% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -12.68% returns
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to AAK AB should be less than 10%
- Overall Portfolio exposure to FMCG should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in FMCG)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is AAK AB for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
AAK AB
-12.68%
-0.37
23.55%
OMX Stockholm 30
8.01%
0.44
18.11%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
10.56%
EBIT Growth (5y)
19.91%
EBIT to Interest (avg)
14.40
Debt to EBITDA (avg)
0.89
Net Debt to Equity (avg)
0.11
Sales to Capital Employed (avg)
2.08
Tax Ratio
23.75%
Dividend Payout Ratio
36.70%
Pledged Shares
0
Institutional Holding
0.05%
ROCE (avg)
16.40%
ROE (avg)
15.17%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
19
Industry P/E
Price to Book Value
3.53
EV to EBIT
15.12
EV to EBITDA
12.71
EV to Capital Employed
3.14
EV to Sales
1.48
PEG Ratio
NA
Dividend Yield
2.00%
ROCE (Latest)
20.79%
ROE (Latest)
18.40%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bearish
RSI
No Signal
Bullish
Bollinger Bands
Bullish
Mildly Bearish
Moving Averages
Mildly Bearish (Daily)
KST
Bullish
Bearish
Dow Theory
Mildly Bullish
No Trend
OBV
Mildly Bullish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend0What is working for the Company
NO KEY POSITIVE TRIGGERS
-10What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at SEK 665 MM
RAW MATERIAL COST(Y)
Grown by 25.17% (YoY
OPERATING PROFIT(Q)
Lowest at SEK 1,070 MM
OPERATING PROFIT MARGIN(Q)
Lowest at 9.47 %
PRE-TAX PROFIT(Q)
Lowest at SEK 873 MM
NET PROFIT(Q)
Lowest at SEK 641 MM
EPS(Q)
Lowest at SEK 2.46
Here's what is not working for AAK AB
Operating Cash Flow
Lowest at SEK 665 MM
in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (SEK MM)
Operating Profit
Lowest at SEK 1,070 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is negative
Operating Profit (SEK MM)
Operating Profit Margin
Lowest at 9.47 %
in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales
Pre-Tax Profit
Lowest at SEK 873 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is negative
Pre-Tax Profit (SEK MM)
Pre-Tax Profit
At SEK 873 MM has Fallen at -24.82%
over average net sales of the previous four periods of SEK 1,161.25 MMMOJO Watch
Near term Pre-Tax Profit trend is negative
Pre-Tax Profit (SEK MM)
Net Profit
Lowest at SEK 641 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is negative
Net Profit (SEK MM)
Net Profit
At SEK 641 MM has Fallen at -27.49%
over average net sales of the previous four periods of SEK 884 MMMOJO Watch
Near term Net Profit trend is negative
Net Profit (SEK MM)
EPS
Lowest at SEK 2.46
in the last five periodsMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (SEK)
Raw Material Cost
Grown by 25.17% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin
Raw Material Cost as a percentage of Sales
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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