C.A.G Group AB (CAG) AI Stock Analysis

C.A.G Group AB

(Nasdaq OMX AB:CAG)

Select Model

Rating:63Neutral

Price Target:SEK 89.00▲(5.20% Upside)

Action:reiterated

Date:10/24/26

The overall score of 63 reflects a company with solid financial fundamentals and an attractive valuation that is currently under severe technical pressure. The primary strength is a fortress-like balance sheet and reliable cash flow generation, which provides stability. This is countered by a significant operational weakness in declining gross margins and a bearish technical trend, with the stock trading below all major moving averages and exhibiting weak momentum. The low P/E and high dividend yield offer a potential value opportunity, but the negative price action and margin concerns are the most significant factors weighing on the score.

Positive Factors

Strong Cash ConversionConsistently strong conversion of reported earnings into free cash flow indicates good earnings quality and supports internally funded operations. Stable operating and free cash flow also gives CAG flexibility to invest, return capital, and withstand moderate changes in demand.

Negative Factors

Weak Revenue MomentumThe recent slowdown in revenue growth indicates weaker expansion of customer demand than in earlier periods. If this persists, CAG may have less operating leverage and fewer opportunities to grow earnings, making future performance more dependent on utilization and cost control.

C.A.G Group AB (CAG) vs. iShares MSCI Sweden ETF (EWD)

Market Cap: SEK 623.84M
Dividend Yield: 5.08%
Average Volume (3M): 7,150
Price to Earnings (P/E): 13.7
Beta (1Y): 0.16
Revenue Growth: 2.70%
EPS Growth: -8.53%
Country: Sweden
Employees: 422
Sector: General
Sector Strength: 55
Industry: Information Technology Services

C.A.G Group AB Business Overview & Revenue Model

Company Description

CAG Group AB (publ) operates as an IT consulting company in Sweden. The company offers IT-management services, such as requirements analysis, project implementation, and IT service operations; system development services; operations and support servi...

C.A.G Group AB Financial Statement Overview

Summary

Financial performance is sound, anchored by a robust balance sheet (Score: 78) with very low leverage and strong cash flow conversion (Score: 72). The primary offset is the income statement (Score: 65), where a significant compression in gross margins to 13.1% TTM raises concerns about operational efficiency, despite a recent revenue rebound.

Income Statement

65Positive

Balance Sheet

78Positive

Cash Flow

72Positive

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	875.91M	844.97M	872.06M	889.63M	796.66M	649.29M
Gross Profit	113.14M	331.56M	168.40M	178.07M	302.76M	257.23M
EBITDA	90.24M	93.26M	100.01M	106.08M	94.33M	71.24M
Net Income	44.64M	47.79M	48.59M	53.44M	48.25M	30.28M
Balance Sheet
Total Assets	653.40M	536.63M	546.34M	587.67M	585.26M	452.51M
Cash, Cash Equivalents and Short-Term Investments	90.53M	122.55M	108.43M	105.44M	128.77M	81.35M
Total Debt	63.89M	35.52M	58.92M	96.98M	112.61M	57.94M
Total Liabilities	294.49M	199.81M	227.07M	288.75M	313.29M	218.32M
Stockholders Equity	358.92M	336.82M	319.27M	298.92M	271.98M	234.19M
Cash Flow
Free Cash Flow	79.58M	84.16M	78.48M	62.17M	87.75M	50.98M
Operating Cash Flow	81.88M	87.20M	82.21M	66.37M	90.47M	51.94M
Investing Cash Flow	-54.94M	-3.04M	-3.73M	-16.77M	-54.36M	-75.07M
Financing Cash Flow	-20.26M	-70.04M	-75.49M	-72.93M	12.31M	-12.10M

C.A.G Group AB Technical Analysis

Technical Analysis SentimentNeutral

Last Price84.60

Price Trends

50DMA88.29Negative

100DMA93.92Negative

200DMA98.61Negative

Market Momentum

MACD-1.61Negative

RSI47.18Neutral

STOCH38.89Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:CAG, the sentiment is Neutral. The current price of 84.60 is above the 20-day moving average (MA) of 84.19, below the 50-day MA of 88.29, and below the 200-day MA of 98.61, indicating a neutral trend. The MACD of -1.61 indicates Negative momentum. The RSI at 47.18 is Neutral, neither overbought nor oversold. The STOCH value of 38.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for SE:CAG.

C.A.G Group AB Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

SE:CAG against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SE:EXS	68Neutral	SEK 1.53B	24.47	11.71%	1.65%	9.08%	-14.10%
SE:ANOD.B	64Neutral	SEK 9.00B	24.01	13.08%	1.72%	4.71%	-1.34%
SE:CAG	63Neutral	SEK 603.19M	13.73	―	5.08%	2.70%	-8.53%
SE:SOF.B	63Neutral	SEK 1.01B	13.49	26.03%	7.10%	10.87%	-1.59%
SE:KNOW	60Neutral	SEK 3.21B	-12.09	-7.43%	1.97%	-5.94%	-382.16%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
SE:B3	51Neutral	SEK 217.06M	91.91	1.13%	―	-6.29%	-4.08%

* General Sector Average

Performance Comparison

SE:CAG and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
SE:CAG	C.A.G Group AB	84.60	-21.12	-19.98%
SE:SOF.B	Softronic AB Class B	19.02	-2.33	-10.93%
SE:B3	B3 Consulting Group AB	24.30	-18.75	-43.55%
SE:ANOD.B	Addnode Group AB Class B	67.00	-38.23	-36.33%
SE:EXS	Exsitec Holding AB	115.00	-38.88	-25.27%
SE:KNOW	Knowit AB	121.60	8.08	7.12%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Oct 24, 2026

C.A.G Group AB AI Stock Analysis