Narrative Update on Arjo: Analyst Price Target Change
Analysts have maintained Arjo’s fair value estimate at $36.00 per share. Recent adjustments to the discount rate and growth assumptions have resulted in minimal impact on the company's outlook.
What's in the News
- Arjo AB provided earnings guidance for the fourth quarter and full year of 2025, with expectations of increased sales growth for the quarter and organic net sales growth well within the group's target interval of 3% to 5% for the year. (Company announcement)
- Christofer Carlsson, who has served as interim CFO since January 2025, has been appointed permanent CFO effective September 1, 2025. Carlsson has been with Arjo since 2017 and previously led Corporate Control functions. (Company announcement)
Valuation Changes
- The Fair Value Estimate remains unchanged at SEK 36.00 per share.
- The Discount Rate has risen slightly, increasing from 6.86% to 7.12%.
- The Revenue Growth forecast has declined modestly, moving from 2.49% to 2.43%.
- The Net Profit Margin is largely unchanged, edging down fractionally from 7.72% to 7.71%.
- The future P/E multiple has increased slightly, rising from 12.87x to 12.99x.
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AnalystConsensusTarget is a tool utilizing a Large Language Model (LLM) that ingests data on consensus price targets, forecasted revenue and earnings figures, as well as the transcripts of earnings calls to produce qualitative analysis. The narratives produced by AnalystConsensusTarget are general in nature and are based solely on analyst data and publicly-available material published by the respective companies. These scenarios are not indicative of the company's future performance and are exploratory in nature. Simply Wall St has no position in the company(s) mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The price targets and estimates used are consensus data, and do not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that AnalystConsensusTarget's analysis may not factor in the latest price-sensitive company announcements or qualitative material.
