Industrivarden AB Class A (INDU.A) AI Stock Analysis

• Market Cap: kr150.64B
• Dividend Yield: 2.38%
• Average Volume (3M): 183.33K
• Price to Earnings (P/E): 38.8
• Beta (1Y): 1.07
• Revenue Growth: -49.11%
• EPS Growth: -87.67%
• Country: SE
• Employees: 15
• Sector: Industrials
• Sector Strength: 93
• Industry: Asset Management
• EPS (TTM): 9.01
• Shares Outstanding: 238,376,940
• 10 Day Avg. Volume: 219,804
• 30 Day Avg. Volume: 183,332
• PEG Ratio: -0.52
• Price to Book (P/B): 0.84
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 28.54
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 54 Neutral
• Price Target: ―

Industrivarden AB Class A earns a moderate score primarily due to its strong balance sheet and positive cash flow generation. However, persistent EBIT losses and revenue volatility weigh down the income statement. Technical indicators are bearish, reflecting weak market momentum. The high P/E ratio suggests overvaluation, adding further risk. Despite a solid financial foundation, the company faces challenges in profitability and growth, resulting in a cautious outlook.

Industrivarden AB Class A Business Overview & Revenue Model

Company Description

Industrivarden AB Class A (INDU.A) is a Sweden-based investment company that operates as a long-term asset manager, primarily investing in Nordic companies with strong market positions and sustainable growth prospects. The company is involved in a variety of sectors including industrial, financial, and consumer goods. Industrivarden focuses on active ownership and value creation through its significant equity stakes in a diversified portfolio of leading publicly traded companies.

How the Company Makes Money

Industrivarden AB generates revenue primarily through dividends and capital gains from its equity investments in a portfolio of Nordic companies. The company's key revenue streams are the dividends it receives from its holdings and the appreciation of its investments over time. Industrivarden's investment strategy involves taking significant positions in its portfolio companies, influencing their strategic direction, and actively engaging in governance to enhance shareholder value. The company leverages its expertise and network to support the growth and profitability of its investments, which in turn contributes to its earnings. Partnerships with its portfolio companies and a focus on sectors with strong growth potential are significant factors contributing to Industrivarden's revenue model.

Industrivarden AB Class A Financial Statement Overview

Summary

Industrivarden AB Class A exhibits a mixed financial health picture. While the balance sheet is robust with a strong equity base and zero debt, the income statement shows significant volatility and inconsistency in revenue and profit margins. The cash flow statement indicates operational cash generation but highlights fluctuating free cash flow trends. Future performance will heavily depend on stabilizing revenue streams and maintaining financial discipline.

Income Statement

The income statement reveals significant volatility with major declines in revenue, especially from 2023 to 2024. Gross profit margins have been inconsistent, and the company experienced a dramatic EBIT loss in 2024, impacting overall profitability. However, the net profit margin remains positive due to one-time gains or accounting adjustments, which indicates some resilience in financial management.

Balance Sheet

The balance sheet is strong with a robust equity position and no total debt as of 2024, indicating financial stability. The equity ratio suggests a healthy balance of assets funded by equity. However, prior years showed significant leverage, which could indicate potential risks if similar conditions arise again.

Cash Flow

The cash flow statement reflects positive free cash flow in 2024, demonstrating potential operational efficiency. There is a notable improvement in operating cash flow, though the free cash flow growth rate is inconsistent due to fluctuations in prior years. The operating cash flow to net income ratio suggests adequate cash generation from operations.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
12.53B	12.72B	27.27B	-13.96B	26.69B	8.50B
	Gross Profit
12.53B	12.72B	27.54B	-13.96B	26.69B	8.50B
	EBIT
-16.78B	-25.71B	27.14B	-13.90B	26.68B	8.49B
	EBITDA
-635.75M	0.00	27.15B	-13.88B	26.73B	8.54B
	Net Income Common Stockholders
3.89B	12.65B	26.84B	-13.97B	26.59B	8.44B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
241.00M	843.00M	869.00M	795.00M	697.00M	0.00
	Total Assets
175.72B	167.44B	158.53B	134.76B	150.75B	129.11B
	Total Debt
0.00	0.00	8.20B	8.18B	7.22B	7.78B
	Net Debt
-241.00M	-843.00M	7.33B	7.39B	6.53B	7.78B
	Total Liabilities
8.79B	8.27B	8.65B	8.58B	7.67B	8.13B
	Stockholders Equity
166.94B	159.18B	149.88B	126.18B	143.08B	120.98B
Cash Flow		Free Cash Flow
4.77B	8.29B	6.06B	-13.97B	6.99B	491.00M
	Operating Cash Flow
4.96B	8.29B	6.06B	-13.97B	6.99B	491.00M
	Investing Cash Flow
-4.65B	-4.57B	-2.85B	-3.18B	-2.26B	-4.11B
	Financing Cash Flow
-3.24B	-3.75B	-3.13B	-1.96B	-4.03B	3.56B

Industrivarden AB Class A Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 344.20
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:INDU.A, the sentiment is Neutral. The current price of 344.2 is below the 20-day moving average (MA) of 351.67, above the 50-day MA of 342.79, and below the 200-day MA of 357.62, indicating a neutral trend. The MACD of 0.71 indicates Positive momentum. The RSI at 51.28 is Neutral, neither overbought nor oversold. The STOCH value of 35.36 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for SE:INDU.A.

Industrivarden AB Class A Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BURE	70 Neutral	€21.64B	186.51	0.27%	0.91%	13.61%	-97.82%
INVE.B	69 Neutral	kr856.72B	19.77	5.42%	1.75%	-3.74%	-73.16%
LUND.B	69 Neutral	kr121.92B	23.75	4.47%	0.94%	18.94%	-40.44%
INVE.A	68 Neutral	kr868.38B	20.19	5.42%	1.75%	-3.74%	-73.16%
Sector *	66 Neutral	$4.49B	12.28	5.32%	248.53%	4.08%	-12.00%
KINV.A	56 Neutral	kr22.96B	―		―	-95.90%	27.54%
INDU.A	54 Neutral	kr150.64B	38.79	2.33%	2.38%	-49.11%	-87.67%