(ESSITY-B) Essity (publ) - Ratings and Ratios

Essity AB (publ) is a global hygiene and health company with a diverse portfolio of products and services across three main segments: Health & Medical, Consumer Goods, and Professional Hygiene. The company has a strong presence in Europe, North and Latin America, Asia, and internationally, with a range of well-established brands, including TENA, Leukoplast, JOBST, and Tork, among others. With a history dating back to 1849, Essity has evolved into a leading player in the personal care products industry.

Analyzing the companys segments, we see that Health & Medical offers a range of products catering to the needs of family carers, professional caregivers, and patients, including incontinence products, wound care, and digital solutions. Consumer Goods provides a wide array of products, such as feminine hygiene products, baby care items, and household essentials, to consumers through retail trade and e-commerce. Meanwhile, Professional Hygiene offers a variety of products and solutions for businesses, including toilet papers, paper hand towels, and cleaning products, under the Tork brand.

From a technical analysis perspective, Essitys stock price is currently at 280.30 SEK, with a 20-day SMA of 278.23 SEK and a 50-day SMA of 279.95 SEK, indicating a relatively stable short-term trend. However, the 200-day SMA at 289.21 SEK suggests a potential long-term downtrend. The ATR of 4.88 SEK (1.74%) indicates moderate volatility. Given the current price action and technical indicators, we can expect the stock to potentially consolidate around the current levels before making a significant move.

Fundamentally, Essity has a market capitalization of 195,300.72M SEK and a P/E ratio of 15.69, with a forward P/E of 14.25, indicating a relatively stable valuation. The companys RoE of 15.04% suggests a decent return on equity. By combining the technical and fundamental data, we can forecast that Essitys stock price may experience a moderate increase in the near term, potentially reaching 295-300 SEK, driven by the companys stable financials and a potential rebound in the stock price. However, this forecast is contingent on the companys ability to maintain its market share and continue delivering stable earnings.

To validate this forecast, we need to monitor Essitys future earnings reports, track industry trends, and keep an eye on the overall market conditions. Any significant deviations from our expectations could impact the stock price and our forecast. By continuously analyzing the companys technical and fundamental data, we can refine our forecast and make more informed investment decisions.