ASSA ABLOY AB (publ)
ASSA ABLOY AB (publ) Fundamental Analysis
ASSA ABLOY AB (publ) (ASAZF) shows moderate financial fundamentals with a PE ratio of 29.60, profit margin of 9.64%, and ROE of 14.51%. The company generates $144.2B in annual revenue with moderate year-over-year growth of 6.71%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 61.7/100 based on profitability, valuation, growth, and balance sheet metrics. The C+ grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze ASAZF's fundamental strength across five key dimensions:
Efficiency Score
WeakASAZF struggles to generate sufficient returns from assets.
Valuation Score
ModerateASAZF shows balanced valuation metrics.
Growth Score
ExcellentASAZF delivers strong and consistent growth momentum.
Financial Health Score
ExcellentASAZF maintains a strong and stable balance sheet.
Profitability Score
WeakASAZF struggles to sustain strong margins.
Key Financial Metrics
Is ASAZF Expensive or Cheap?
P/E Ratio
ASAZF trades at 29.60 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, ASAZF's PEG of 0.03 indicates potential undervaluation.
Price to Book
The market values ASSA ABLOY AB (publ) at 4.28 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 11.68 times EBITDA. This signals the market has high growth expectations.
How Well Does ASAZF Make Money?
Net Profit Margin
For every $100 in sales, ASSA ABLOY AB (publ) keeps $9.64 as profit after all expenses.
Operating Margin
Core operations generate 15.27 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $14.51 in profit for every $100 of shareholder equity.
ROA
ASSA ABLOY AB (publ) generates $7.05 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
ASSA ABLOY AB (publ) produces operating cash flow of $20.24B, showing steady but balanced cash generation.
Free Cash Flow
ASSA ABLOY AB (publ) generates strong free cash flow of $17.78B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $16.88 in free cash annually.
FCF Yield
ASAZF converts 4.56% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
29.60
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.03
vs 25 benchmark
P/B Ratio
Price to book value ratio
4.28
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.71
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.69
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.03
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.15
vs 25 benchmark
ROA
Return on assets percentage
0.07
vs 25 benchmark
ROCE
Return on capital employed
0.15
vs 25 benchmark
How ASAZF Stacks Against Its Sector Peers
| Metric | ASAZF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 29.60 | 25.84 | Worse (Expensive) |
| ROE | 14.51% | 1279.00% | Weak |
| Net Margin | 9.64% | -43714.00% (disorted) | Weak |
| Debt/Equity | 0.69 | 0.80 | Neutral |
| Current Ratio | 1.03 | 10.62 | Neutral |
| ROA | 7.05% | -1537441.00% (disorted) | Weak |
ASAZF outperforms its industry in 0 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews ASSA ABLOY AB (publ)'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
59.71%
Industry Style: Cyclical, Value, Infrastructure
High GrowthEPS CAGR
56.51%
Industry Style: Cyclical, Value, Infrastructure
High GrowthFCF CAGR
68.91%
Industry Style: Cyclical, Value, Infrastructure
High Growth