Sandvik AB

Sandvik AB

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Market Cap$46.34B
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P/E RatioDividendsReturn on EquityPrice-to-SalesDebt-to-Equity
Sandvik ABSandvik AB23.81.66%17%0.30.4

Earnings Call Q3 2026

October 22, 2026 - AI Summary

Strong quarter across demand, profitability, and cash flow (ahead of targets) - Order intake: ~SEK 37bn, +20% total, +17% organic - Revenue: SEK 37.7bn, +29% total, +25% organic - Profitability: Adjusted EBITA ~SEK 8.5bn, 22.5% margin vs 19% prior-year; rolling 12-month EBITA margin 21.3% - Earnings & cash: Adjusted profit SEK 5.8bn; Free operating cash flow SEK 7.2bn (vs SEK 5.6bn), 87% cash conversion (Q3) and 75% on a 12‑month rolling basis - Book-to-bill ~98% (not unusual due to seasonality; typically 2H deliveries heavier)
Tungsten dynamics: lower-than-guided temporary drag; pricing actions supporting margin resilience - Temporary tungsten timing effect: SEK 104m vs ~SEK 200m guided, with Q4 expected “limited” incremental impact (flat in-quarter) - Management attributes the lower outcome to tungsten prices easing slightly toward quarter end causing an inventory revaluation effect - In Machining, Sandvik raised prices toward quarter-end to offset expected tungsten-related cost movements (notably with lags, and also considering APT + scrap components) - Surprising/positive: pricing and margin protection appear to be working better than expected given the tungsten drop
Segment performance highlights (good momentum, with some regional/area negatives) - Mining: strong demand equipment + aftermarket - Organic order intake growth +16%, equipment +23% (excluding major orders); aftermarket driving most growth - Profit margin 21.8%; EBITA SEK 4.3bn - Brownfield/Greenfield mix broadly 55% / 13% / 32% replacements - Machining (cutting tools / powder): very strong - Order intake +35% total (+33% organic); cutting tools +19% - EBITA SEK 3.7bn, margin 25.7% (up sharply from prior-year) - Leverage ~45%; savings program SEK 82m - Rock Processing: mixed/softer - Orders down (-2% total, -8% organic) due to fewer “major orders” vs last year, but aftermarket strong - Negative operating leverage small in magnitude; investment in frontline due to expected demand

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$16.89

Current Fair Value

54.3% downside

Overvalued by 54.3% based on the discounted cash flow analysis.

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Share Statistics

Market cap$46.34 Billion
Enterprise Value$86.47 Billion
Annual dividend$0.65
Dividend yield1.66%
Earnings per Share$11.68
Beta1.32
Outstanding Shares1,254,386,000

Return

Return on Equity17.08%ROE
Return on Assets9.34%
Return on Invested Capital18.08%

Valuation & Multiples

P/E Ratio23.81P/E Ratio
PEG1.68PEG
Price to Sales0.34Price to Sales
Price to Book Ratio0.42Price to Book Ratio
Enterprise Value to Revenue0.63
Enterprise Value to EBIT3.22
Enterprise Value to Net Income4
Total Debt to Enterprise0.51
Debt to Equity0.4Debt to Equity

Revenue Sources

No data

Last Earnings Call

Report Date
October 22, 2026
EPS
$0.46
Est. $0.46
Revenue
$3.75 B
Est. $3.66 B

Next Earnings Call

Expected Date
January 27, 2027
EPS Estimate
$0.53
Consensus analyst estimate
Revenue Estimate
$4.11 B
Consensus analyst estimate

Institutional Sentiment (Put/Call)

No data available for the latest quarter.

Institutional Ownership

No data available for the latest quarter.

About Sandvik Aktiebolag

42,373 employees
CEO: Stefan Widing

Sandvik AB engages in the development, manufacture, and sale of tools, equipment, and tooling systems for the mining and construction industries. It operates through the following segments: Sandvik Machining Solutions, Sandvik Mining and...

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