Essity AB (Sweden) Performance

ESSITY-A  SEK 257.00  1.00  0.39%   
The firm shows a Beta (market volatility) of -0.0836, which means not very significant fluctuations relative to the market. As returns on the market increase, returns on owning Essity AB are expected to decrease at a much lower rate. During the bear market, Essity AB is likely to outperform the market. At this point, Essity AB has a negative expected return of -0.0289%. Please make sure to confirm Essity AB's treynor ratio, accumulation distribution, as well as the relationship between the Accumulation Distribution and price action indicator , to decide if Essity AB performance from the past will be repeated at some point in the near future.

Risk-Adjusted Performance

Weakest

 
Weak
 
Strong
Over the last 90 days Essity AB has generated negative risk-adjusted returns adding no value to investors with long positions. Despite somewhat strong basic indicators, Essity AB is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors. ...more
Begin Period Cash Flow3.9 B
Total Cashflows From Investing Activities-14.5 B
  

Essity AB Relative Risk vs. Return Landscape

If you would invest  26,250  in Essity AB on October 29, 2025 and sell it today you would lose (550.00) from holding Essity AB or give up 2.1% of portfolio value over 90 days. Essity AB is generating negative expected returns and assumes 1.2276% volatility on return distribution over the 90 days horizon. Simply put, 11% of stocks are less volatile than Essity, and 99% of all equity instruments are likely to generate higher returns than the company over the next 90 trading days.
  Expected Return   
       Risk  
Assuming the 90 days trading horizon Essity AB is expected to under-perform the market. In addition to that, the company is 1.64 times more volatile than its market benchmark. It trades about -0.02 of its total potential returns per unit of risk. The Dow Jones Industrial is currently generating roughly 0.09 per unit of volatility.

Essity AB Target Price Odds to finish over Current Price

The tendency of Essity Stock price to converge on an average value over time is a known aspect in finance that investors have used since the beginning of the stock market for forecasting. However, many studies suggest that some traded equity instruments are consistently mispriced before traders' demand and supply correct the spread. One possible conclusion to this anomaly is that these stocks have additional risk, for which investors demand compensation in the form of extra returns.
Current PriceHorizonTarget PriceOdds to move above the current price in 90 days
 257.00 90 days 257.00 
about 92.36
Based on a normal probability distribution, the odds of Essity AB to move above the current price in 90 days from now is about 92.36 (This Essity AB probability density function shows the probability of Essity Stock to fall within a particular range of prices over 90 days) .
Assuming the 90 days trading horizon Essity AB has a beta of -0.0836 suggesting as returns on the benchmark increase, returns on holding Essity AB are expected to decrease at a much lower rate. During a bear market, however, Essity AB is likely to outperform the market. Additionally Essity AB has a negative alpha, implying that the risk taken by holding this instrument is not justified. The company is significantly underperforming the Dow Jones Industrial.
   Essity AB Price Density   
       Price  

Predictive Modules for Essity AB

There are currently many different techniques concerning forecasting the market as a whole, as well as predicting future values of individual securities such as Essity AB. Regardless of method or technology, however, to accurately forecast the stock market is more a matter of luck rather than a particular technique. Nevertheless, trying to predict the stock market accurately is still an essential part of the overall investment decision process. Using different forecasting techniques and comparing the results might improve your chances of accuracy even though unexpected events may often change the market sentiment and impact your forecasting results.
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Essity AB's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Hype
Prediction
LowEstimatedHigh
255.77257.00258.23
Details
Intrinsic
Valuation
LowRealHigh
229.50230.73282.70
Details
Naive
Forecast
LowNextHigh
250.27251.50252.73
Details
Bollinger
Band Projection (param)
LowerMiddle BandUpper
254.26264.08273.91
Details

Essity AB Risk Indicators

For the most part, the last 10-20 years have been a very volatile time for the stock market. Essity AB is not an exception. The market had few large corrections towards the Essity AB's value, including both sudden drops in prices as well as massive rallies. These swings have made and broken many portfolios. An investor can limit the violent swings in their portfolio by implementing a hedging strategy designed to limit downside losses. If you hold Essity AB, one way to have your portfolio be protected is to always look up for changing volatility and market elasticity of Essity AB within the framework of very fundamental risk indicators.
α
Alpha over Dow Jones
-0.02
β
Beta against Dow Jones-0.08
σ
Overall volatility
3.93
Ir
Information ratio -0.08

Essity AB Alerts and Suggestions

In today's market, stock alerts give investors the competitive edge they need to time the market and increase returns. Checking the ongoing alerts of Essity AB for significant developments is a great way to find new opportunities for your next move. Suggestions and notifications for Essity AB can help investors quickly react to important events or material changes in technical or fundamental conditions and significant headlines that can affect investment decisions.
Essity AB generated a negative expected return over the last 90 days
Essity AB has high financial leverage indicating that it may have difficulties to generate enough cash to satisfy its financial obligations
Essity AB has accumulated 58.24 B in total debt with debt to equity ratio (D/E) of 106.0, indicating the company may have difficulties to generate enough cash to satisfy its financial obligations. Essity AB has a current ratio of 0.89, indicating that it has a negative working capital and may not be able to pay financial obligations in time and when they become due. Debt can assist Essity AB until it has trouble settling it off, either with new capital or with free cash flow. So, Essity AB's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Essity AB sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Essity to invest in growth at high rates of return. When we think about Essity AB's use of debt, we should always consider it together with cash and equity.
Over 83.0% of Essity AB shares are held by institutions such as insurance companies

Essity AB Price Density Drivers

Market volatility will typically increase when nervous long traders begin to feel the short-sellers pressure to drive the market lower. The future price of Essity Stock often depends not only on the future outlook of the current and potential Essity AB's investors but also on the ongoing dynamics between investors with different trading styles. Because the market risk indicators may have small false signals, it is better to identify suitable times to hedge a portfolio using different long/short signals. Essity AB's indicators that are reflective of the short sentiment are summarized in the table below.
Common Stock Shares Outstanding702.3 M
Cash And Short Term Investments9.2 B

Essity AB Fundamentals Growth

Essity Stock prices reflect investors' perceptions of the future prospects and financial health of Essity AB, and Essity AB fundamentals are critical determinants of its market performance. Overall, investors pay close attention to revenue and earnings growth, profit margins, and debt levels. These fundamentals can have a significant impact on Essity Stock performance.

About Essity AB Performance

By analyzing Essity AB's fundamental ratios, stakeholders can gain valuable insights into Essity AB's financial health, operational efficiency, and overall profitability, helping them make informed investment and management decisions. For instance, if Essity AB has a high ROA and ROE, it suggests that the company is efficiently using its assets and equity to generate substantial profits, making it an attractive investment. Conversely, if Essity AB has a low ROA and ROE, it may indicate underlying issues in asset and equity management, signaling a need for operational improvements.
Essity AB develops, produces, and sells personal care, consumer tissue, and professional hygiene products and solutions worldwide. Essity AB was founded in 1849 and is headquartered in Stockholm, Sweden. Essity AB operates under Household Personal Products classification in Sweden and is traded on Stockholm Stock Exchange. It employs 47000 people.

Things to note about Essity AB performance evaluation

Checking the ongoing alerts about Essity AB for important developments is a great way to find new opportunities for your next move. Stock alerts and notifications screener for Essity AB help investors to be notified of important events, changes in technical or fundamental conditions, and significant headlines that can affect investment decisions.
Essity AB generated a negative expected return over the last 90 days
Essity AB has high financial leverage indicating that it may have difficulties to generate enough cash to satisfy its financial obligations
Essity AB has accumulated 58.24 B in total debt with debt to equity ratio (D/E) of 106.0, indicating the company may have difficulties to generate enough cash to satisfy its financial obligations. Essity AB has a current ratio of 0.89, indicating that it has a negative working capital and may not be able to pay financial obligations in time and when they become due. Debt can assist Essity AB until it has trouble settling it off, either with new capital or with free cash flow. So, Essity AB's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Essity AB sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Essity to invest in growth at high rates of return. When we think about Essity AB's use of debt, we should always consider it together with cash and equity.
Over 83.0% of Essity AB shares are held by institutions such as insurance companies
Evaluating Essity AB's performance can involve analyzing a variety of financial metrics and factors. Some of the key considerations to evaluate Essity AB's stock performance include:
  • Analyzing Essity AB's financial statements, including its income statement, balance sheet, and cash flow statement, helps in understanding its overall financial health and growth potential.
  • Getting a closer look at valuation ratios like price-to-earnings (P/E) ratio, price-to-sales (P/S) ratio, and price-to-book (P/B) ratio help in understanding whether Essity AB's stock is overvalued or undervalued compared to its peers.
  • Examining Essity AB's industry or sector and how it is performing can give you an idea of its growth potential and how it is positioned relative to its competitors.
  • Evaluating Essity AB's management team can have a significant impact on its success or failure. Reviewing the track record and experience of Essity AB's management team can help you assess the Company's leadership.
  • Pay attention to analyst opinions and ratings of Essity AB's stock. These opinions can provide insight into Essity AB's potential for growth and whether the stock is currently undervalued or overvalued.
It's essential to remember that evaluating Essity AB's stock performance is not an exact science, and many factors can impact Essity AB's stock market price. Therefore, it's also important to diversify your portfolio and not rely solely on one company or stock for your investments.

Complementary Tools for Essity Stock analysis

When running Essity AB's price analysis, check to measure Essity AB's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Essity AB is operating at the current time. Most of Essity AB's value examination focuses on studying past and present price action to predict the probability of Essity AB's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Essity AB's price. Additionally, you may evaluate how the addition of Essity AB to your portfolios can decrease your overall portfolio volatility.
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