(ARJO-B) Arjo (publ) - Ratings and Ratios

Arjo AB (publ) is a leading provider of medical devices and solutions that cater to the needs of patients and healthcare institutions across the globe, with a presence in Europe, Asia, Latin America, Africa, and the Pacific. The companys comprehensive product portfolio includes patient handling equipment, hygiene and disinfection solutions, medical beds, and diagnostic tools, among others. Arjos solutions are designed to improve clinical outcomes, reduce healthcare costs, and enhance patient care. With a strong focus on innovation, the company provides a range of services, including equipment repair and maintenance, rental, and financing options, to support healthcare providers in delivering high-quality care.

Arjos business model is centered around serving private and public institutions that provide acute and long-term care, making it a critical partner in the healthcare ecosystem. With a history dating back to 1957, the company has established itself as a trusted brand in the industry, with a strong presence in its home market of Sweden and a growing footprint globally. Arjos commitment to improving patient outcomes and reducing healthcare costs is reflected in its diverse product portfolio, which includes solutions for pressure injury prevention, deep vein thrombosis treatment, and obstetric and cardiac diagnostics.

Analyzing the technical data, we can see that Arjos stock price has been trending below its 200-day moving average, indicating a potential downtrend. However, the stocks relative strength index is not extremely oversold, suggesting that a rebound is possible. Using the available technical indicators, we can forecast that the stock price may face resistance around 32.50-33.00 SEK in the short term. If the stock can break through this resistance level, it may be poised for a further increase towards 35.00 SEK.

From a fundamental perspective, Arjos market capitalization stands at approximately 8.16 billion SEK, with a forward price-to-earnings ratio of 14.33. The companys return on equity is around 5.73%, indicating a relatively stable financial performance. Using this data, we can forecast that Arjos earnings per share may grow by around 10-12% in the next fiscal year, driven by increasing demand for its medical devices and solutions. If this growth is achieved, the stock price may be positively impacted, potentially driving the price towards 40.00 SEK in the medium term.

Combining the technical and fundamental analysis, we can conclude that Arjos stock price may experience a short-term correction before potentially rebounding towards higher levels. Investors may want to keep a close eye on the stocks price action around the 32.50-33.00 SEK resistance level, as a break above this level could signal a further increase in the stock price. Additionally, the companys strong product portfolio and growing demand for its solutions make it an attractive investment opportunity for those looking to gain exposure to the healthcare sector.