Addtech AB (ADDT B) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Note AB

Inission AB

Nolato AB

Addtech AB

Lagercrantz Group AB

Northbaze Group AB

SaltX Technology Holding AB

Careium AB

SinterCast AB

Tobii AB

STRAX AB

Why is Addtech AB ?

Strong Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 21.92%

Healthy long term growth as Net Sales has grown by an annual rate of 14.56% and Operating profit at 23.90%
Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 15.04

Flat results in Jun 25

INTEREST(Q) At SEK 58 MM has Grown at 48.72%

With ROE of 28.07%, it has a very expensive valuation with a 11.31 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 6.32%, its profits have risen by 11.5% ; the PEG ratio of the company is 3.5

Company is among the highest 1% of companies rated by MarketsMojo across all 4,000 stocks

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Addtech AB should be less than 10%
Overall Portfolio exposure to Electronics & Appliances should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Electronics & Appliances)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Addtech AB for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

Addtech AB

6.32%

1.19

28.72%

OMX Stockholm 30

8.01%

0.44

18.11%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

14.56%

EBIT Growth (5y)

23.90%

EBIT to Interest (avg)

15.04

Debt to EBITDA (avg)

1.54

Net Debt to Equity (avg)

0.68

Sales to Capital Employed (avg)

1.70

Tax Ratio

22.86%

Dividend Payout Ratio

45.64%

Pledged Shares

Institutional Holding

0.01%

ROCE (avg)

21.92%

ROE (avg)

27.49%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

11.31

EV to EBIT

31.12

EV to EBITDA

26.21

EV to Capital Employed

7.10

EV to Sales

3.93

PEG Ratio

3.49

Dividend Yield

5.32%

ROCE (Latest)

22.81%

ROE (Latest)

28.07%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bullish

Sideways

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

9What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -1.05% (YoY

CASH AND EQV(HY)

Highest at SEK 2,191 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 4.63%

NET SALES(Q)

Highest at SEK 5,839 MM

OPERATING PROFIT(Q)

Highest at SEK 928 MM

OPERATING PROFIT MARGIN(Q)

Highest at 15.89 %

PRE-TAX PROFIT(Q)

Highest at SEK 752 MM

NET PROFIT(Q)

Highest at SEK 562.53 MM

EPS(Q)

Highest at SEK 2.02

-2What is not working for the Company

INTEREST(Q)

At SEK 58 MM has Grown at 48.72%

Here's what is working for Addtech AB

Net Sales

Highest at SEK 5,839 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (SEK MM)

Operating Profit

Highest at SEK 928 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (SEK MM)

Operating Profit Margin

Highest at 15.89 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at SEK 752 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (SEK MM)

Net Profit

Highest at SEK 562.53 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (SEK MM)

EPS

Highest at SEK 2.02

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (SEK)

Cash and Eqv

Highest at SEK 2,191 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Inventory Turnover Ratio

Highest at 4.63%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -1.05% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for Addtech AB

Interest

At SEK 58 MM has Grown at 48.72%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (SEK MM)