Update shared on 23 Nov 2025
Analysts have slightly increased their price target for KONE Oyj, raising it from €47 to €48. They cite updated financial assumptions and improved outlooks reflected in the latest market research.
Analyst Commentary
Bullish Takeaways
- Bullish analysts highlight the upward revision of the price target, reflecting confidence in the company's financial outlook and future growth potential.
- Improved market research and updated financial assumptions support a more favorable view of KONE Oyj's ability to execute on its business strategy.
- Optimists point to the resilience of demand in KONE's core markets, which has helped maintain stability in revenue forecasts.
- The company’s consistent operational performance and proactive approach to navigating market challenges are seen as key strengths that support a higher valuation.
Bearish Takeaways
- Bearish analysts remain cautious and maintain the existing Underperform rating despite the price target increase, citing potential execution risks in the company’s long-term strategic initiatives.
- Continued competition in the sector may challenge KONE Oyj’s ability to expand its market share and protect margins.
- Uncertainties in global economic conditions, including potential slowdowns in construction activity, could impact near-term growth projections.
- There are concerns that recent positive revisions may already be reflected in the current share price, which could limit further upside in valuation.
What's in the News
- KONE Oyj has issued earnings guidance for 2025, projecting 3% to 5% sales growth at comparable exchange rates and anticipating a EUR 30 million negative FX impact on adjusted EBIT. Key growth drivers are Service and Modernization, while the New Building Solutions market in China is expected to remain challenging. (Key Developments)
- KONE has formed a strategic partnership with United Elevators, its first official partner in Egypt, to strengthen its presence and deliver innovative and sustainable mobility solutions in the Egyptian market. The collaboration supports KONE’s global RISE strategy and seeks to provide advanced elevator technology and services across various residential and commercial projects. (Key Developments)
Valuation Changes
- Fair Value Estimate has remained unchanged at €56.73.
- Discount Rate has decreased marginally from 7.05% to 6.94%, which reflects a slightly more favorable risk assessment.
- Revenue Growth projections are stable, holding steady at approximately 4.91%.
- Net Profit Margin shows negligible change, remaining around 10.58%.
- Future Price-to-Earnings (P/E) ratio has edged down slightly from 26.20x to 26.12x.
Disclaimer
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