Essity AB (publ)

BATS-CHIXE:ESSIBS Stock Report

Market Cap: SEK 206.5b

Essity Valuation

Is ESSIBS undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of ESSIBS when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Discounted Cash Flow
Simply Wall St
SEK 583.71
Fair Value
49.1% undervalued intrinsic discount
11
Number of Analysts

Below Fair Value: ESSIBS (SEK297.15) is trading below our estimate of fair value (SEK583.71)

Significantly Below Fair Value: ESSIBS is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for ESSIBS?

Key metric: As ESSIBS is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for ESSIBS. This is calculated by dividing ESSIBS's market cap by their current earnings.
What is ESSIBS's PE Ratio?
PE Ratio17.5x
EarningsSEK 11.79b
Market CapSEK 206.51b

Price to Earnings Ratio vs Peers

How does ESSIBS's PE Ratio compare to its peers?

The above table shows the PE ratio for ESSIBS vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average27.7x
RKT Reckitt Benckiser Group
22x10.6%UK£34.0b
MCB McBride
5.2x1.1%UK£172.7m
HLN Haleon
27.9x10.6%UK£33.7b
CLX Clorox
55.7x19.8%US$19.9b
ESSIBS Essity
17.5x8.8%SEK 206.5b

Price-To-Earnings vs Peers: ESSIBS is good value based on its Price-To-Earnings Ratio (17.5x) compared to the peer average (27.9x).

Price to Earnings Ratio vs Industry

How does ESSIBS's PE Ratio compare vs other companies in the Global Household Products Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No. of Companies14PE01224364860+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: ESSIBS is good value based on its Price-To-Earnings Ratio (17.5x) compared to the Global Household Products industry average (17.6x).

Price to Earnings Ratio vs Fair Ratio

What is ESSIBS's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

ESSIBS PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio17.5x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate ESSIBS's Price-To-Earnings Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst ESSIBS forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentSEK 297.15
SEK 326.91
+10.0%
10.2%SEK 380.00SEK 270.00n/a11
Jan ’26SEK 296.00
SEK 326.91
+10.4%
10.2%SEK 380.00SEK 270.00n/a11
Dec ’25SEK 298.20
SEK 325.18
+9.0%
9.9%SEK 380.00SEK 270.00n/a11
Nov ’25SEK 299.85
SEK 320.91
+7.0%
11.4%SEK 380.00SEK 265.00n/a11
Oct ’25SEK 313.55
SEK 321.27
+2.5%
10.9%SEK 375.00SEK 265.00n/a11
Sep ’25SEK 306.45
SEK 310.27
+1.2%
8.1%SEK 340.00SEK 265.00n/a11
Aug ’25SEK 301.25
SEK 307.38
+2.0%
8.1%SEK 340.00SEK 265.00n/a13
Jul ’25SEK 271.10
SEK 292.71
+8.0%
8.1%SEK 330.00SEK 250.00n/a14
Jun ’25SEK 269.10
SEK 292.93
+8.9%
8.6%SEK 330.00SEK 243.00n/a14
May ’25n/a
SEK 290.43
0%
9.9%SEK 330.00SEK 235.00n/a14
Apr ’25n/a
SEK 278.64
0%
9.6%SEK 325.00SEK 235.00n/a11
Mar ’25n/a
SEK 276.64
0%
10.0%SEK 325.00SEK 235.00n/a11
Feb ’25n/a
SEK 275.80
0%
10.5%SEK 325.00SEK 235.00n/a10
Jan ’25SEK 249.40
SEK 289.08
+15.9%
10.4%SEK 336.00SEK 240.00SEK 296.0013
Dec ’24SEK 262.50
SEK 291.85
+11.2%
8.9%SEK 336.00SEK 240.00SEK 298.2013
Nov ’24SEK 247.30
SEK 294.21
+19.0%
9.4%SEK 336.00SEK 235.00SEK 299.8514
Oct ’24n/a
SEK 289.67
0%
10.1%SEK 336.00SEK 235.00SEK 313.5515
Sep ’24SEK 256.95
SEK 297.31
+15.7%
10.5%SEK 342.00SEK 235.00SEK 306.4516
Aug ’24n/a
SEK 298.38
0%
9.9%SEK 342.00SEK 250.00SEK 301.2516
Jul ’24SEK 287.10
SEK 319.88
+11.4%
10.7%SEK 363.00SEK 260.00SEK 271.1016
Jun ’24SEK 290.80
SEK 321.24
+10.5%
11.4%SEK 370.00SEK 255.00SEK 269.1017
May ’24SEK 304.80
SEK 316.00
+3.7%
10.9%SEK 363.00SEK 255.00n/a16
Apr ’24SEK 293.90
SEK 304.44
+3.6%
10.4%SEK 360.00SEK 236.00n/a16
Mar ’24SEK 287.00
SEK 297.28
+3.6%
11.0%SEK 360.00SEK 236.00n/a18
Feb ’24SEK 267.20
SEK 292.00
+9.3%
11.1%SEK 340.00SEK 232.00n/a18
Jan ’24SEK 276.05
SEK 280.83
+1.7%
9.9%SEK 340.00SEK 232.00SEK 249.4018
Analyst Price Target
Consensus Narrative from 11 Analysts
SEK 326.85
Fair Value
9.1% undervalued intrinsic discount
11
Number of Analysts

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/01/10 22:18
End of Day Share Price 2025/01/08 00:00
Earnings2024/09/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Essity AB (publ) is covered by 27 analysts. 11 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Martin MelbyeABG Sundal Collier
Patrick FolanBarclays
Iain SimpsonBarclays