Svenska Cellulosa Aktiebolaget SCA (publ)
Svenska Cellulosa Aktiebolaget SCA (publ) Fundamental Analysis
Svenska Cellulosa Aktiebolaget SCA (publ) (SCABY) shows weak financial fundamentals with a PE ratio of 24.55, profit margin of 15.64%, and ROE of 3.07%. The company generates $20.4B in annual revenue with weak year-over-year growth of 0.96%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 44.1/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze SCABY's fundamental strength across five key dimensions:
Efficiency Score
WeakSCABY struggles to generate sufficient returns from assets.
Valuation Score
ExcellentSCABY trades at attractive valuation levels.
Growth Score
WeakSCABY faces weak or negative growth trends.
Financial Health Score
ExcellentSCABY maintains a strong and stable balance sheet.
Profitability Score
ModerateSCABY maintains healthy but balanced margins.
Key Financial Metrics
Is SCABY Expensive or Cheap?
P/E Ratio
SCABY trades at 24.55 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, SCABY's PEG of -0.27 indicates potential undervaluation.
Price to Book
The market values Svenska Cellulosa Aktiebolaget SCA (publ) at 0.77 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 10.47 times EBITDA. This signals the market has high growth expectations.
How Well Does SCABY Make Money?
Net Profit Margin
For every $100 in sales, Svenska Cellulosa Aktiebolaget SCA (publ) keeps $15.64 as profit after all expenses.
Operating Margin
Core operations generate 21.14 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $3.07 in profit for every $100 of shareholder equity.
ROA
Svenska Cellulosa Aktiebolaget SCA (publ) generates $2.17 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Svenska Cellulosa Aktiebolaget SCA (publ) produces operating cash flow of $3.97B, showing steady but balanced cash generation.
Free Cash Flow
Svenska Cellulosa Aktiebolaget SCA (publ) produces free cash flow of $1.16B, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $1.66 in free cash annually.
FCF Yield
SCABY converts 1.49% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
24.55
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.27
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.77
vs 25 benchmark
P/S Ratio
Price to sales ratio
3.84
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.15
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.46
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.03
vs 25 benchmark
ROA
Return on assets percentage
0.02
vs 25 benchmark
ROCE
Return on capital employed
0.03
vs 25 benchmark
How SCABY Stacks Against Its Sector Peers
| Metric | SCABY Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 24.55 | 24.64 | Neutral |
| ROE | 3.07% | 871.00% | Weak |
| Net Margin | 15.64% | -109391.00% (disorted) | Strong |
| Debt/Equity | 0.15 | 0.55 | Strong (Low Leverage) |
| Current Ratio | 1.46 | 6.75 | Neutral |
| ROA | 2.17% | -6706.00% (disorted) | Weak |
SCABY outperforms its industry in 2 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Svenska Cellulosa Aktiebolaget SCA (publ)'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
10.96%
Industry Style: Cyclical, Commodity, Value
High GrowthEPS CAGR
317.86%
Industry Style: Cyclical, Commodity, Value
High GrowthFCF CAGR
8.45%
Industry Style: Cyclical, Commodity, Value
Growing