VOLV-B Stock Analysis: AB Volvo (publ) | ST
Farm & Heavy Construction Machinery | ST, Sweden | Market Cap: 721.469m SEK | 12M Return: 30.2% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 917M
EPS Trend: -93.4%
Qual. Beats: 1
Rev. Trend: -94.9%
Qual. Beats: 0
Warnings
No concerns identified
Tailwinds
No distinct edge detected
Seasonality 10.5 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 (publ) is a Swedish manufacturer of commercial vehicles, construction equipment, and engines, headquartered in Gothenburg and operating globally through a multi-brand portfolio. The company is structured around Industrial Operations (Trucks, Construction Equipment, Buses, Volvo Penta engines, and Group Functions) alongside a Financial Services segment. Its truck brands include Volvo, Renault Trucks, Mack, Eicher, and Dongfeng Trucks, while construction equipment is sold under the Volvo, SDLG, and Rokbak brands, and buses and coaches under the Prevost and Volvo Bus brands. Volvo Penta supplies engines and power solutions for industrial, marine, and power generation applications.
Beyond equipment manufacturing, Volvo generates recurring revenue through aftermarket and customer-support offerings such as financing, leasing, insurance, spare parts, preventive maintenance, uptime service agreements, and used equipment, distributed via a global dealer network. The company serves end markets including transportation, infrastructure, construction, marine, industrial, and public transportation. Founded in 1915, Volvo operates in a cyclical capital-goods sector where demand is closely tied to global construction activity, freight volumes, and infrastructure investment, and where aftermarket services typically provide a more stable earnings buffer than new equipment sales.
- Heavy-duty truck pricing holds as North America order book recovers
- EU zero-emission mandate accelerates electric truck rollout
- Construction equipment margins compress on weak China demand
| Net Income: 35.8b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.03 > 0.02 and ΔFCF/TA 0.53 > 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 (74.7b): 2.96 < 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: 29.05 > 6 (EBIT TTM 51.2b / 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: 0.08 (EBIT TTM 51.2b / Avg Total Assets 678b) |
| D: 0.35 (Book Value of Equity 177b / Total Liabilities 502b) |
| Altman-Z'' = 2.02 = BBB |
| DSRI: 1.12 (Receivables 176b/166b, 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 = -2.97 (Cap -4..+1) = A |
As of July 28, 2026, the stock is trading at SEK 355.50 with a total of 3,395,398 shares traded. Over the past week, the price has changed by +4.96%, over one month by +9.89%, over three months by +11.27% and over the past year by +30.18%.
Current recommended Stop Loss: 345.90 (which is 2.7% or 1.3 ATR below the current price).
AB Volvo (publ) has no consensus analysts rating.
P/E Trailing = 20.1134
P/E Forward = 15.5521
P/S = 1.53
P/B = 4.0537
P/EG = 1.4277
Revenue TTM = 472b SEK
EBIT TTM = 51.2b SEK
EBITDA TTM = 74.7b 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 = 943b SEK (721b + Debt 268b - CCE 47.1b)
Interest Coverage Ratio = 29.05 (Ebit TTM 51.2b / Interest Expense TTM 1.76b)
EV/FCF = 40.48x (Enterprise Value 943b / FCF TTM 23.3b)
FCF Yield = 2.47% (FCF TTM 23.3b / Enterprise Value 943b)
FCF Margin = 4.94% (FCF TTM 23.3b / 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 = 1.39 (Enterprise Value 943b / Total Assets 679b)
Interest Expense / Debt = 0.66% (Interest Expense 1.76b / Debt 268b)
Taxrate = 26.86% (13.2b / 49.1b)
NOPAT = 37.5b (EBIT 51.2b * (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 = 2.96 (Net Debt 221b / EBITDA 74.7b)
Debt / FCF = 9.50 (Net Debt 221b / FCF TTM 23.3b)
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 = 15.52% (EBIT 51.2b / Capital Employed (Equity 179b + L.T.Debt 151b))
RoIC = 7.75% (NOPAT 37.5b / Invested Capital 484b)
WACC = 6.44% (E(721b)/V(990b) * Re(8.66%) + D(268b)/V(990b) * Rd(0.66%) * (1-Tc(0.27)))
Discount Rate = 8.66% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -19.00 | Cagr: 0.0%
[DCF] Terminal Value 77.97% ; FCFF base≈21.8b ; Y1≈25.0b ; Y5≈36.9b
[DCF] Fair Price = 209.3 (EV 555b - Net Debt 221b = Equity 333b / Shares 1.59b; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: -93.44 | EPS CAGR: -18.37% | SUE: 0.98 | # QB: 1
Revenue Correlation: -94.89 | Revenue CAGR: -6.42% | SUE: 0.41 | # QB: 0
EPS current Quarter (2026-09-30): EPS=5.54 | Chg30d=+1.92% | Revisions=+0% | Analysts=5
EPS current Year (2026-12-31): EPS=21.61 | Chg30d=+0.43% | Revisions=-8% | GrowthEPS=+20.5% | GrowthRev=+3.8%
EPS next Year (2027-12-31): EPS=25.47 | Chg30d=+2.47% | Revisions=+8% | GrowthEPS=+17.9% | GrowthRev=+8.8%
[Analyst] Revisions Ratio: +0% (up=11, down=11)