(HUSQ-B) Husqvarna (publ) - Ratings and Ratios

Husqvarna AB (publ) is a multifaceted company that designs, manufactures, and distributes a wide range of outdoor power products, watering solutions, and lawn care equipment, operating through three distinct divisions: Husqvarna Forest & Garden, Gardena, and Husqvarna Construction. The companys product portfolio is diverse, catering to various sectors including forestry, tree care, landscaping, and construction, as well as individual homeowners.

The Husqvarna Forest & Garden division is a significant player in the outdoor power equipment market, offering an array of products such as chainsaws, trimmers, and robotic lawn mowers. Meanwhile, the Gardena division focuses on residential and smart watering solutions, garden hand tools, and electric battery-system gardening tools. The Husqvarna Construction division serves the construction and stone industries with power cutters, floor saws, and demolition robots, among other equipment.

With a global presence spanning across Europe, the Asia/Pacific, Canada, the United States, and Latin America, Husqvarna AB (publ) has established a robust distribution network, selling its products under various brand names including Husqvarna, Gardena, and Jonsered. The companys rich history dates back to 1689, and it is headquartered in Stockholm, Sweden.

Analyzing the , we observe that the stocks last price is 47.60 SEK, slightly below its 20-day Simple Moving Average (SMA) of 48.16 SEK. The 50-day SMA is 46.79 SEK, indicating a potential support level, while the 200-day SMA stands at 57.75 SEK, suggesting a longer-term downtrend. The Average True Range (ATR) is 1.47, equivalent to 3.08% of the last price, indicating moderate volatility. Given the current price action and technical indicators, a potential trading range between 46.79 SEK and 48.16 SEK can be anticipated in the short term.

Examining the , Husqvarna AB (publ) has a market capitalization of 27.87 billion SEK, with a Price-to-Earnings (P/E) ratio of 29.61 and a forward P/E of 14.90. The Return on Equity (RoE) is 3.93%, indicating relatively modest profitability. By combining these fundamental metrics with the technical analysis, we can forecast that if the company can improve its RoE and deliver earnings growth as implied by the forward P/E, the stock may experience an upward revaluation, potentially breaking above its 200-day SMA. A target price of 55 SEK can be anticipated in the medium term, representing a 15.5% increase from the current price. However, this is contingent upon the companys ability to execute its business strategy and navigate the challenges in its operating markets.