VOLV-A Stock Analysis: AB Volvo (publ) | ST
Farm & Heavy Construction Machinery | ST, Sweden | Market Cap: 691.780m SEK | 12M Return: 21.6% | SE0000115420 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 24.2M
EPS Trend: -81.1%
Rev. Trend: -94.9%
Qual. Beats: 0
Warnings
Tailwinds
No distinct edge detected
Seasonality 11.6 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
AB Volvo is a Swedish industrial manufacturer that produces and sells trucks, buses, construction equipment, and marine and industrial engines across Europe, North America, South America, Asia, Africa, and Oceania. The company operates through dedicated Industrial Operations segments (Trucks, Construction Equipment, Buses, Volvo Penta, Group Functions & Other) alongside a Financial Services segment, with a multi-brand portfolio that includes Volvo, Renault Trucks, Mack, Eicher, Dongfeng Trucks, Prevost, SDLG, and Rokbak. In addition to hardware, Volvo offers engines and power solutions for off-highway, power generation, and marine applications, as well as aftermarket services such as customer support agreements, financing, leasing, insurance, rentals, spare parts, and maintenance. The company was incorporated in 1915 and is headquartered in Gothenburg, Sweden.
Volvo serves a diversified set of end markets spanning transportation, infrastructure, construction, marine, industrial, and public transportation, distributing its products through a global dealer network. Its multi-brand and multi-segment structure is characteristic of heavy equipment manufacturers, allowing it to address different price points, regions, and customer needs (for example, Mack in North America and Eicher or Dongfeng in emerging markets). Captive Financial Services is a common and strategically important feature in this sector, supporting equipment sales through dealer and customer financing while generating a recurring revenue stream tied to the installed base of vehicles and machinery.
- North America Class 8 truck demand softens as freight cycle troughs
- EU emissions rules accelerate electric truck order book growth
- Construction equipment margins compress on weak European demand
| Net Income: 35.8b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.04 > 0.02 and ΔFCF/TA 0.91 > 1.0 |
| NWC/Revenue: 6.14% < 20% (prev 6.56%; Δ -0.42% < -1%) |
| CFO/TA 0.07 > 3% & CFO 49.8b > Net Income 35.8b |
| Net Debt (221b) to EBITDA (74.3b): 2.98 < 3 |
| Current Ratio: 1.10 > 1.5 & < 3 |
| Outstanding Shares: last quarter (2.03b) vs 12m ago 0.0% < -2% |
| Gross Margin: 25.34% > 18% (prev 25.16%; Δ 0.18% > 0.5%) |
| Asset Turnover: 69.53% > 50% (prev 73.80%; Δ -4.27% > 0%) |
| Interest Coverage Ratio: 28.82 > 6 (EBIT TTM 50.8b / Interest Expense TTM 1.76b) |
| A: 0.04 (Total Current Assets 310b - Total Current Liabilities 281b) / Total Assets 679b |
| B: 0.26 (Retained Earnings 180b / Total Assets 679b) |
| C: 0.07 (EBIT TTM 50.8b / Avg Total Assets 678b) |
| D: 0.35 (Book Value of Equity 177b / Total Liabilities 502b) |
| Altman-Z'' = 2.02 = BBB |
| DSRI: 1.15 (Receivables 176b/162b, Revenue 472b/500b) |
| GMI: 0.99 (GM 25.16% / 25.34%) |
| AQI: 1.02 (AQ_t 0.35 / AQ_t-1 0.34) |
| SGI: 0.94 (Revenue 472b / 500b) |
| TATA: -0.02 (NI 35.8b - CFO 49.8b) / TA 679b) |
| Beneish M = -2.94 (Cap -4..+1) = A |
As of August 25, 2026, the stock is trading at SEK 346.60 with a total of 39,889 shares traded. Over the past week, the price has changed by +1.35%, over one month by -2.37%, over three months by +7.37% and over the past year by +21.62%.
Current recommended Stop Loss: 339.10 (which is 2.2% or 1.3 ATR below the current price).
AB Volvo (publ) has no consensus analysts rating.
P/E Trailing = 19.2857
P/E Forward = 15.528
P/S = 1.465
P/B = 3.9132
P/EG = 1.4183
Revenue TTM = 472b SEK
EBIT TTM = 50.8b SEK
EBITDA TTM = 74.3b SEK
Long Term Debt = 151b SEK (from longTermDebt, last quarter)
Short Term Debt = 109b SEK (from shortTermDebt, last quarter)
Debt = 268b SEK (from shortLongTermDebtTotal, last quarter) + Leases 7.97b
Net Debt = 221b SEK (calculated: Debt 268b - CCE 47.1b)
Enterprise Value = 913b SEK (692b + Debt 268b - CCE 47.1b)
Interest Coverage Ratio = 28.82 (Ebit TTM 50.8b / Interest Expense TTM 1.76b)
EV/FCF = 35.30x (Enterprise Value 913b / FCF TTM 25.9b)
FCF Yield = 2.83% (FCF TTM 25.9b / Enterprise Value 913b)
FCF Margin = 5.49% (FCF TTM 25.9b / Revenue TTM 472b)
Net Margin = 7.60% (Net Income TTM 35.8b / Revenue TTM 472b)
Gross Margin = 25.34% ((Revenue TTM 472b - Cost of Revenue TTM 352b) / Revenue TTM)
Gross Margin QoQ = 25.70% (prev 25.93%)
Tobins Q-Ratio = 1.35 (Enterprise Value 913b / Total Assets 679b)
Interest Expense / Debt = 0.66% (Interest Expense 1.76b / Debt 268b)
Taxrate = 26.86% (13.2b / 49.1b)
NOPAT = 37.2b (EBIT 50.8b * (1 - 26.86%))
Current Ratio = 1.10 (Total Current Assets 310b / Total Current Liabilities 281b)
Debt / Equity = 1.52 (Debt 268b / totalStockholderEquity, last quarter 177b)
Debt / EBITDA = 2.98 (Net Debt 221b / EBITDA 74.3b)
Debt / FCF = 8.55 (Net Debt 221b / FCF TTM 25.9b)
Total Stockholder Equity = 179b (last 4 quarters mean from totalStockholderEquity)
RoA = 5.29% (Net Income 35.8b / Total Assets 679b)
RoE = 19.98% (Net Income TTM 35.8b / Total Stockholder Equity 179b)
RoCE = 15.39% (EBIT 50.8b / Capital Employed (Equity 179b + L.T.Debt 151b))
RoIC = 7.69% (NOPAT 37.2b / Invested Capital 484b)
WACC = 6.09% (E(692b)/V(960b) * Re(8.26%) + D(268b)/V(960b) * Rd(0.66%) * (1-Tc(0.27)))
Discount Rate = 8.26% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -49.75 | Cagr: -0.01%
[DCF] Terminal Value 77.97% ; FCFF base≈23.4b ; Y1≈26.8b ; Y5≈39.5b
[DCF] Fair Price = 845.5 (EV 594b - Net Debt 221b = Equity 373b / Shares 440.7m; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: -81.11 | EPS CAGR: -15.56% | SUE: N/A | # QB: 0
Revenue Correlation: -94.86 | Revenue CAGR: -6.39% | SUE: 0.48 | # QB: 0
EPS current Quarter (2026-09-30): EPS=0.00 | Chg30d=N/A | Revisions=N/A | Analysts=0
EPS current Year (2026-12-31): EPS=21.16 | Chg30d=N/A | Revisions=+0% | GrowthEPS=+0.0% | GrowthRev=+3.7%
EPS next Year (2027-12-31): EPS=25.23 | Chg30d=N/A | Revisions=+0% | GrowthEPS=+19.2% | GrowthRev=+8.7%