Axfood AB (AXFO) AI Stock Analysis

• Market Cap: kr56.09B
• Dividend Yield: 3.38%
• Average Volume (3M): 218.03K
• Price to Earnings (P/E): 26.3
• Beta (1Y): 0.11
• Revenue Growth: 6.28%
• EPS Growth: -10.08%
• Country: SE
• Employees: 15,000
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Grocery Stores
• EPS (TTM): 3.43
• Shares Outstanding: 216,843,250
• 10 Day Avg. Volume: 196,345
• 30 Day Avg. Volume: 218,034
• 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: kr310.00
• Price Target Upside: 19.14% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 60 Neutral
• Price Target: kr279.00 ▲(7.23% Upside)

Axfood AB's overall stock score is primarily influenced by its solid financial performance, characterized by strong cash flows and effective equity use. However, the stock faces bearish technical indicators and a relatively high valuation, which weigh on the overall score. The absence of earnings call insights and corporate events leaves the financial and technical aspects as the primary determinants.

Axfood AB Business Overview & Revenue Model

Company Description

Axfood AB (publ) engages in the food retail and wholesale businesses in Sweden. It operates through Willys, Hemköp, Dagab, and Axfood Snabbgross segments. The company operates its retail business through Willys, Hemköp, and Eurocash chains; and the online store, Mat.se. It is also involved in the e-commerce business; and provision of private label products. In addition, it offers home delivery of meal kits under the Middagsfrid name, as well as operates Urban Deli, a combined restaurant and market hall concept; and Apohem, an online pharmacy solution. The company serves restaurants, foodservice operators, and cafés; and retailer-owned stores, mini-marts, service stations, and other convenience retailers. It operates 65 Hemköp, 219 Willys, and 26 Snabbgross group-owned stores; and 133 Hemköp and 126 Tempo franchises. The company was founded in 1958 and is headquartered in Stockholm, Sweden. Axfood AB (publ) is a subsidiary of Axel Johnson AB.

How the Company Makes Money

Axfood generates revenue primarily through the sale of groceries and related products across its various retail formats. Its key revenue streams include sales from supermarkets and discount stores, as well as from its wholesale operations. The company benefits from economies of scale, allowing it to offer competitive pricing while maintaining profitability. Additionally, Axfood has established partnerships with suppliers and manufacturers to ensure a steady supply of products at favorable terms, which further enhances its margins. The company's focus on e-commerce and online grocery shopping has also contributed to revenue growth, particularly in response to changing consumer behaviors.

Axfood AB Financial Statement Overview

Summary

Axfood AB demonstrates solid financial health with consistent revenue growth and strong cash flows. Profitability margins are under slight pressure, but efficient operations and strong return on equity mitigate risks. Increased leverage is a concern, but overall, the company is well-positioned in the grocery industry.

Income Statement

Axfood AB shows consistent revenue growth with a TTM increase of 2.3%. Gross profit margin is stable at around 14.7%, though slightly lower than historical highs. Net profit margin has decreased to 2.4% in TTM, indicating some pressure on profitability. EBIT and EBITDA margins are stable, reflecting efficient operations despite competitive pressures.

Balance Sheet

The company's debt-to-equity ratio has increased to 2.48 in TTM, indicating higher leverage, which could pose risks if not managed carefully. However, the return on equity remains strong at 33.1%, showcasing effective use of equity to generate profits. The equity ratio is moderate, suggesting a balanced asset structure.

Cash Flow

Axfood AB's cash flow is robust, with a significant free cash flow growth of 23% in TTM. The operating cash flow to net income ratio is healthy, indicating strong cash generation relative to net income. Free cash flow to net income ratio remains solid, reflecting efficient cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	86.80B	84.06B	81.11B	73.47B	57.89B	53.70B
Gross Profit	12.77B	12.23B	11.33B	10.08B	8.95B	8.55B
EBITDA	7.13B	6.68B	6.47B	5.78B	5.16B	4.82B
Net Income	2.12B	2.19B	2.36B	2.36B	2.15B	1.91B
Balance Sheet
Total Assets	36.14B	35.43B	30.02B	28.62B	23.73B	18.81B
Cash, Cash Equivalents and Short-Term Investments	374.00M	735.00M	688.00M	559.00M	734.00M	-5.71B
Total Debt	15.42B	15.30B	9.76B	9.25B	8.00B	5.71B
Total Liabilities	29.57B	28.04B	22.83B	21.72B	18.55B	14.25B
Stockholders Equity	6.22B	7.05B	6.88B	6.61B	4.95B	4.33B
Cash Flow
Free Cash Flow	4.38B	3.92B	3.86B	3.33B	2.77B	3.82B
Operating Cash Flow	6.05B	5.46B	5.81B	5.93B	4.59B	4.85B
Investing Cash Flow	-3.28B	-3.18B	-2.21B	-2.78B	-3.84B	-1.08B
Financing Cash Flow	-3.04B	-2.23B	-3.47B	-3.32B	-1.55B	-3.04B

Axfood AB Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 260.20
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:AXFO, the sentiment is Negative. The current price of 260.2 is below the 20-day moving average (MA) of 275.76, below the 50-day MA of 286.61, and below the 200-day MA of 264.16, indicating a bearish trend. The MACD of -8.09 indicates Positive momentum. The RSI at 20.96 is Positive, neither overbought nor oversold. The STOCH value of 1.30 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:AXFO.

Axfood AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CLA.B	―	kr10.19B	15.33	11.94%	3.11%	1.61%	34.76%
SCST	―	kr5.85B	20.59	―	2.55%	7.37%	2.90%
DUNI	―	€4.95B	15.16	9.65%	4.72%	3.79%	39.15%
Sector *	―	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
AXFO	―	kr56.09B	26.34	31.10%	3.38%	6.28%	-10.08%
HUMBLE	―	€3.54B	41.17	0.87%	―	5.99%	-38.16%
MSON.B	―	kr1.19B	―	-0.17%	2.45%	-2.95%	-112.90%

Axfood AB Corporate Events

Axfood AB Reports Strong Q3 Growth and Plans for New Logistics Center

Axfood AB reported a 6.6% increase in net sales to SEK 22,286 million for the third quarter of 2025, with retail sales rising by 19.5%. The company is planning to enhance its operational capacity with a new automated logistics center in southern Sweden, expected to be completed by 2030, which will likely improve efficiency and market reach.

The most recent analyst rating on (SE:AXFO) stock is a Hold with a SEK307.00 price target. To see the full list of analyst forecasts on Axfood AB stock, see the SE:AXFO Stock Forecast page.

Axfood AB to Present Q3 2025 Interim Report

Axfood AB announced an upcoming presentation of their third-quarter 2025 interim report, scheduled for October 23. The event will be led by President and CEO Simone Margulies and CFO Anders Lexmon, and will be accessible via webcast and teleconference. This presentation is an opportunity for stakeholders to gain insights into the company’s financial performance and strategic direction.

The most recent analyst rating on (SE:AXFO) stock is a Hold with a SEK299.00 price target. To see the full list of analyst forecasts on Axfood AB stock, see the SE:AXFO Stock Forecast page.

Axfood AB Unveils Growth Strategy at Capital Markets Day

Axfood AB hosted a Capital Markets Day, highlighting its strategy for long-term, profitable, and sustainable growth through distinctive concepts and collaboration. The company plans to expand its store chains, enhance logistics, and integrate AI to streamline operations. Axfood’s commitment to sustainability is evident in its achievements in reducing food waste and transitioning to renewable fuels. Despite recent operating margins below target due to investments, Axfood expects these initiatives to foster increased profitability over time.

The most recent analyst rating on (SE:AXFO) stock is a Buy with a SEK335.00 price target. To see the full list of analyst forecasts on Axfood AB stock, see the SE:AXFO Stock Forecast page.

Axfood Appoints Nominating Committee for 2026 AGM

Axfood has announced the formation of its Nominating Committee for the 2026 Annual General Meeting, consisting of members from its largest shareholders. This committee, representing 58.7% of the company’s votes and capital, will draft recommendations for key roles and fees ahead of the AGM scheduled for March 2026. The announcement underscores Axfood’s commitment to structured governance and stakeholder involvement in its decision-making processes.

The most recent analyst rating on (SE:AXFO) stock is a Buy with a SEK335.00 price target. To see the full list of analyst forecasts on Axfood AB stock, see the SE:AXFO Stock Forecast page.

Axfood to Establish New Automated Logistics Center in Kungsbacka

Axfood AB has announced plans to establish a new highly automated logistics center in Kungsbacka, set to be completed by 2030, to enhance capacity and efficiency in southern Sweden. The center, which will be environmentally certified and cover 90,000 square meters, aims to support Axfood’s expansion with increased capacity and a broader product range. This strategic move, involving a collaboration with Witron for automation technology, is expected to increase Axfood’s logistics capacity by at least 20% and is part of a broader effort to optimize logistics operations across the region.

The most recent analyst rating on (SE:AXFO) stock is a Buy with a SEK335.00 price target. To see the full list of analyst forecasts on Axfood AB stock, see the SE:AXFO Stock Forecast page.