Bufab AB (BUFAB) AI Stock Analysis

• Market Cap: €17.33B
• Dividend Yield: 1.18%
• Average Volume (3M): 112.40K
• Price to Earnings (P/E): 29.2
• Beta (1Y): 1.11
• Revenue Growth: -4.08%
• EPS Growth: 27.56%
• Country: SE
• Employees: 1,755
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Distribution
• EPS (TTM): 0.88
• Shares Outstanding: 190,552,660
• 10 Day Avg. Volume: 104,547
• 30 Day Avg. Volume: 112,400
• 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: €93.29
• Price Target Upside: 5.04% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 55 Neutral
• Price Target: kr93.00 ▲(4.71% Upside)

Bufab AB's overall stock score reflects solid financial performance with strong profitability and efficient operations. However, technical indicators suggest bearish momentum, and the high P/E ratio indicates potential overvaluation. The lack of earnings call data and notable corporate events limits additional insights.

Bufab AB Business Overview & Revenue Model

Company Description

Bufab AB (publ) operates as a trading company that provides solutions for sourcing, quality control, and logistics for C-parts in Sweden and internationally. It offers metal or plastic fasteners comprising screws, bolts, nuts, rivets, pins, washers, etc.; and other small metal, rubber, and plastic parts, including cables, springs, and electronic fasteners. The company also provides stainless steel bolts under the BUMAX brand name; and special products, such as access hardware, cold formed parts, die cast parts, electrical products, machined parts, magnets, plastic parts, rubber parts, stamping and pressing parts, tools and equipment, and turned parts. In addition, it offers assembled parts, add on products, and special packaging and kitting solutions. Further, the company provides supply chain services. It serves customers in a range of manufacturing industries, including the technology, electronics/telecommunications, consumer goods, transportation and construction, furniture, and automotive sectors, as well as the offshore and refining industry. The company was formerly known as Bufab Holding AB (publ) and changed its name to Bufab AB (publ) in June 2015. Bufab AB (publ) was founded in 1977 and is headquartered in Värnamo, Sweden.

How the Company Makes Money

Bufab AB generates revenue through the sale and distribution of C-Parts to manufacturers and industrial clients worldwide. The company operates a decentralized business model with a network of subsidiaries that manage local sales, sourcing, and logistics. Bufab earns money by negotiating favorable terms with suppliers and providing value-added services such as inventory management and quality assurance. The company also benefits from economies of scale, which allow it to offer competitive pricing to its customers. Key revenue streams include direct sales of C-Parts and service contracts for supply chain management. Strategic partnerships with suppliers and manufacturers enhance Bufab's ability to meet customer demand efficiently and maintain a strong market position.

Bufab AB Financial Statement Overview

Summary

Bufab AB showcases strong financial health with consistent revenue growth and robust profitability margins. The transition to a debt-free balance sheet in 2024 highlights effective financial management, despite a slight dip in free cash flow.

Income Statement

Bufab AB demonstrates strong revenue stability with consistent growth, showing a revenue growth rate of 47.5% from 2019 to 2024. The company maintains healthy profitability, with a gross profit margin around 28.7% in 2024 and a net profit margin of 6.6%. EBIT and EBITDA margins are robust at 11.2% and 14.6%, respectively. Despite a slight dip in net income in 2023, the overall trend remains positive.

Balance Sheet

Bufab AB shows a strong equity position with a debt-free balance sheet in 2024, improving from a debt-to-equity ratio of over 1.0 in previous years. The equity ratio is solid at 42.4%, indicating a stable financial structure. Return on equity (ROE) is strong at 14.7%, reflecting efficient use of equity. The transition to a net cash position in 2024 highlights effective debt management.

Cash Flow

The company exhibits robust cash flow generation, with operating cash flow consistently surpassing net income, evidenced by an operating cash flow to net income ratio of 1.92 in 2024. Free cash flow remains strong, although it decreased from 2023 to 2024. The company has effectively managed capital expenditures, supporting healthy free cash flow generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	7.97B	8.04B	8.68B	8.43B	5.88B	4.76B
Gross Profit	2.43B	2.39B	2.49B	2.39B	1.64B	1.25B
EBITDA	1.23B	1.18B	1.26B	1.19B	848.00M	634.00M
Net Income	591.00M	551.00M	574.00M	609.00M	470.00M	299.00M
Balance Sheet
Total Assets	8.96B	9.19B	8.60B	9.44B	6.57B	4.99B
Cash, Cash Equivalents and Short-Term Investments	205.00M	211.00M	218.00M	322.00M	293.00M	292.00M
Total Debt	3.40B	3.53B	3.58B	4.05B	2.25B	1.80B
Total Liabilities	5.13B	5.29B	5.18B	6.40B	4.20B	3.06B
Stockholders Equity	3.84B	3.90B	3.42B	3.04B	2.38B	1.93B
Cash Flow
Free Cash Flow	768.00M	1.02B	1.36B	-113.00M	138.00M	504.00M
Operating Cash Flow	856.00M	1.10B	1.45B	-47.00M	172.00M	570.00M
Investing Cash Flow	-352.00M	-494.00M	-734.00M	-1.08B	-335.00M	-89.00M
Financing Cash Flow	-461.00M	-623.00M	-813.00M	1.15B	158.00M	-396.00M

Bufab AB Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 88.82
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:BUFAB, the sentiment is Negative. The current price of 88.82 is below the 20-day moving average (MA) of 93.92, below the 50-day MA of 95.47, and above the 200-day MA of 87.97, indicating a neutral trend. The MACD of -0.91 indicates Positive momentum. The RSI at 32.29 is Neutral, neither overbought nor oversold. The STOCH value of 3.27 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:BUFAB.

Bufab AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ALIG	76 Outperform	16.86B	23.20	9.97%	1.93%	-0.39%	34.10%
OEM.B	70 Outperform	20.08B	33.53	24.78%	1.22%	2.54%	4.25%
AQ	68 Neutral	18.32B	27.89	14.73%	0.85%	-1.58%	-1.95%
BUFAB	55 Neutral	€17.33B	29.20	15.89%	1.18%	-4.08%	27.56%
BERG.B	54 Neutral	8.98B	-186.06	-2.78%	1.20%	6.11%	-124.15%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

Bufab AB Corporate Events

Bufab Divests US Manufacturing Unit to Boost Profitability

Bufab has decided to divest a small manufacturing unit in the USA as part of its strategic focus on trading and niche companies to enhance profitability. This divestment, generating net sales of approximately SEK 35 million, is expected to positively impact profitability in the Americas region, despite minor restructuring costs anticipated in the latter half of 2025.

Bufab Recognized as Supplier Engagement Leader by CDP

Bufab has been recognized as a Supplier Engagement Leader by CDP, a global non-profit environmental organization, for its efforts in driving climate change across its supply chain. This accolade highlights Bufab’s commitment to sustainability and strengthens its position as a trusted partner in delivering sustainable solutions, meeting the expectations of customers, investors, and regulators.

Bufab to Unveil Q2 2025 Financial Results

Bufab is set to release its Q2 2025 interim report on July 15, with a presentation by CEO Erik Lundén and CFO Pär Ihrskog scheduled for the same day. This announcement is significant for stakeholders as it provides insights into the company’s financial performance and strategic direction, potentially impacting its market positioning and investor confidence.

Bufab AB Announces Share Split to Enhance Market Position

Bufab AB has announced a share split, increasing the number of shares and votes from 38,110,533 to 190,552,665, following approval at the Annual General Meeting. This change, effective as of May 30, 2025, reduces the quota value of each share, potentially enhancing liquidity and accessibility for investors, thereby impacting the company’s market positioning.

Bufab AB Announces Share Split to Enhance Market Liquidity

Bufab AB has announced a share split, approved at the Annual General Meeting, where each existing share will be divided into five, increasing the total number of shares from 38,110,533 to 190,552,665. This move, effective from 9 May 2025, will automatically update shareholders’ accounts and is expected to enhance liquidity and accessibility of Bufab’s shares, potentially impacting its market positioning positively.