Hexpol AB (HPOL.B) AI Stock Analysis

• Market Cap: kr29.81B
• Dividend Yield: 4.85%
• Average Volume (3M): 465.38K
• Price to Earnings (P/E): 15.2
• Beta (1Y): 1.00
• Revenue Growth: -4.11%
• EPS Growth: -17.57%
• Country: SE
• Employees: 4,945
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): 1.35
• Shares Outstanding: 329,671,230
• 10 Day Avg. Volume: 393,440
• 30 Day Avg. Volume: 465,383
• 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: kr90.00
• Price Target Upside: 3.99% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 73 Outperform
• Price Target: kr95.00 ▲(9.76% Upside)

The overall stock score of 73 reflects a stable financial position with strong equity and manageable debt levels, but challenges in profitability and revenue growth. The technical analysis indicates a bearish trend, while the valuation is attractive with a reasonable P/E ratio and a high dividend yield. The absence of earnings call data and corporate events does not impact the score.

Hexpol AB Business Overview & Revenue Model

Company Description

Hexpol AB (HPOL.B) is a global leader in the polymer compounding and production of advanced rubber and thermoplastic materials. The company operates in various sectors, including automotive, industrial, and medical, providing innovative solutions that enhance product performance. Hexpol specializes in producing custom compounds, including elastomers and thermoplastics, that cater to a diverse clientele across multiple industries.

How the Company Makes Money

Hexpol AB generates revenue primarily through the sale of its compounded materials to various industries, including automotive, consumer goods, and healthcare. The company's key revenue streams include the manufacturing and distribution of custom polymer compounds, which are tailored to specific client needs. Hexpol's extensive global footprint enables it to secure significant contracts with major manufacturers, contributing to stable and growing revenues. Additionally, strategic partnerships with leading companies in different sectors enhance its market position and drive earnings. The company's focus on innovation and sustainability also allows it to tap into emerging markets and demands, further bolstering its income.

Hexpol AB Financial Statement Overview

Summary

Hexpol AB demonstrates a stable financial position with strong equity and manageable debt levels. However, declining profitability margins and negative revenue growth indicate potential challenges in maintaining growth and profitability. Cash flow generation needs improvement to support future investments and operational needs.

Income Statement

Hexpol AB's income statement shows a mixed performance. The TTM (Trailing-Twelve-Months) gross profit margin is healthy at 21.07%, indicating efficient production. However, the net profit margin has declined to 10.23% from 11.45% in 2023, reflecting reduced profitability. Revenue growth is negative at -2.23%, suggesting challenges in maintaining sales momentum. EBIT and EBITDA margins have also decreased, indicating pressure on operational efficiency.

Balance Sheet

The balance sheet reflects a stable financial position with a debt-to-equity ratio of 0.41, which is manageable and indicates a conservative leverage approach. The return on equity is strong at 13.83%, showcasing effective use of equity to generate profits. The equity ratio stands at 56.69%, highlighting a solid equity base relative to total assets.

Cash Flow

Cash flow analysis reveals some concerns with a negative free cash flow growth rate of -4.67% TTM, indicating potential cash generation issues. The operating cash flow to net income ratio is 1.19, suggesting adequate cash flow generation relative to net income. However, the free cash flow to net income ratio is slightly below optimal at 0.95, indicating less cash available after capital expenditures.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	20.05B	20.44B	22.05B	22.24B	16.00B	13.42B
Gross Profit	4.22B	4.37B	4.86B	4.34B	3.47B	2.93B
EBITDA	3.25B	3.83B	4.13B	3.84B	3.54B	2.38B
Net Income	2.05B	2.22B	2.52B	2.48B	2.36B	1.41B
Balance Sheet
Total Assets	24.34B	24.88B	22.51B	23.55B	17.96B	15.07B
Cash, Cash Equivalents and Short-Term Investments	1.12B	1.23B	1.10B	1.54B	1.32B	1.20B
Total Debt	5.60B	3.47B	2.68B	4.39B	2.22B	2.80B
Total Liabilities	10.54B	8.94B	7.93B	9.79B	6.31B	5.94B
Stockholders Equity	13.80B	15.95B	14.58B	13.77B	11.65B	9.13B
Cash Flow
Free Cash Flow	2.31B	2.09B	2.84B	1.93B	2.10B	2.12B
Operating Cash Flow	2.44B	2.70B	3.52B	2.59B	2.41B	2.38B
Investing Cash Flow	-2.47B	-1.50B	-895.00M	-2.17B	-862.00M	-665.00M
Financing Cash Flow	228.00M	-1.28B	-2.95B	104.00M	-1.37B	-1.98B

Hexpol AB Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 86.55
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:HPOL.B, the sentiment is Positive. The current price of 86.55 is above the 20-day moving average (MA) of 83.46, above the 50-day MA of 84.48, and below the 200-day MA of 88.65, indicating a neutral trend. The MACD of 0.44 indicates Negative momentum. The RSI at 60.06 is Neutral, neither overbought nor oversold. The STOCH value of 81.46 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SE:HPOL.B.

Hexpol AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HPOL.B	―	kr29.81B	15.23	13.67%	4.85%	-4.11%	-17.57%
SCA.A	―	kr89.05B	25.24	―	2.36%	6.10%	-3.62%
SSAB.B	―	kr59.27B	11.90	7.29%	4.40%	-8.04%	-37.18%
GRNG	―	kr14.81B	15.64	9.93%	2.21%	22.58%	0.31%
BILL	―	kr21.85B	18.44	4.43%	3.98%	2.55%	98.53%
Sector *	―	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
TRIBO.B	―	kr44.32M	―	-17.94%	―	9.05%	81.56%

Hexpol AB Corporate Events

HEXPOL Reports Resilient Cash Flow Amid Geopolitical Challenges

HEXPOL reported a decrease in sales and earnings for the third quarter of 2025, impacted by currency effects and geopolitical uncertainties. Despite these challenges, the company maintained strong cash flow, with stable demand in Europe and the Engineered Products sector. The North American market experienced weaker demand, particularly in the automotive industry, but this was partially offset by growth in building and construction. HEXPOL continues to focus on sustainability, aiming to significantly reduce carbon emissions by the end of the year, and is set to present its strategic focus on growth and efficiency at an upcoming capital markets day.

The most recent analyst rating on ($SE:HPOL.B) stock is a Hold with a SEK90.00 price target. To see the full list of analyst forecasts on Hexpol AB stock, see the SE:HPOL.B Stock Forecast page.

HEXPOL to Present Q3 2025 Interim Report on October 24

HEXPOL announced it will release its third-quarter 2025 interim report on October 24, with a presentation by the company’s President and CEO, Klas Dahlberg, and Deputy CEO and CFO, Peter Rosén. The report will be accessible via webcast and teleconference, allowing stakeholders to engage and ask questions, reflecting HEXPOL’s commitment to transparency and stakeholder engagement.

The most recent analyst rating on ($SE:HPOL.B) stock is a Buy with a SEK95.00 price target. To see the full list of analyst forecasts on Hexpol AB stock, see the SE:HPOL.B Stock Forecast page.

Kenneth Bloom Appointed Interim President of HEXPOL Compounding Americas

HEXPOL AB has appointed Kenneth Bloom as the interim President of HEXPOL Compounding Americas, effective September 19, 2025, following the departure of Gary Moore. Bloom, who previously held the same position from 2020 to 2022, brings over 20 years of experience in the polymer industry and is expected to lead the company through its next phase of growth and value creation until a permanent successor is found.

The most recent analyst rating on ($SE:HPOL.B) stock is a Buy with a SEK95.00 price target. To see the full list of analyst forecasts on Hexpol AB stock, see the SE:HPOL.B Stock Forecast page.

HEXPOL Announces Capital Markets Day for Strategic Insights

HEXPOL has announced its upcoming Capital Markets Day on November 4, 2025, inviting analysts, investors, and media to join either in Stockholm or online. The event will provide updates on the company’s strategic direction, operational development, and financial goals, offering insights into its business and future growth opportunities. This initiative aims to strengthen HEXPOL’s industry positioning and engage stakeholders by sharing detailed presentations and facilitating Q&A sessions.

The most recent analyst rating on ($SE:HPOL.B) stock is a Buy with a SEK95.00 price target. To see the full list of analyst forecasts on Hexpol AB stock, see the SE:HPOL.B Stock Forecast page.