Essity Valuation
Is ESSIBS undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
5/6Valuation Score 5/6
Below Future Cash Flow Value
Significantly Below Future Cash Flow 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.
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Below Future Cash Flow Value: ESSIBS (SEK277.45) is trading below our estimate of future cash flow value (SEK606.86)
Significantly Below Future Cash Flow Value: ESSIBS is trading below future cash flow 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.
| What is ESSIBS's PE Ratio? | |
|---|---|
| PE Ratio | 15.5x |
| Earnings | SEK 12.12b |
| Market Cap | SEK 187.83b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 1.6x |
| Enterprise Value/EBITDA | 9.1x |
| PEG Ratio | 2.3x |
Price to Earnings Ratio vs Peers
How does ESSIBS's PE Ratio compare to its peers?
| Company | Forward PE | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 18.8x | ||
RKT Reckitt Benckiser Group | 11.6x | -0.30% | UK£33.5b |
MCB McBride | 9.4x | 14.59% | UK£280.4m |
CHD Church & Dwight | 32.8x | 7.95% | US$23.7b |
ULVR Unilever | 21.3x | 9.25% | UK£102.2b |
ESSIBS Essity | 15.5x | 6.79% | SEK 187.8b |
Price-To-Earnings vs Peers: ESSIBS is good value based on its Price-To-Earnings Ratio (15.5x) compared to the peer average (18.8x).
Historical Price to Earnings Ratio
Historical Price to Earnings Ratio compares a stock's price to its earnings over time. Higher ratios indicate that investors are willing to pay more for the stock.
Fetching historical data
Price to Earnings Ratio vs Industry
How does ESSIBS's PE Ratio compare vs other companies in the Global Household Products Industry?
| 0 Companies | Price / Earnings | Estimated Growth | Market Cap |
|---|---|---|---|
| 0 Companies | Estimated Growth | Market Cap |
|---|
Price-To-Earnings vs Industry: ESSIBS is good value based on its Price-To-Earnings Ratio (15.5x) compared to the Global Household Products industry average (16.5x).
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.
| Fair Ratio | |
|---|---|
| Current PE Ratio | 15.5x |
| Fair PE Ratio | 17.6x |
Price-To-Earnings vs Fair Ratio: ESSIBS is good value based on its Price-To-Earnings Ratio (15.5x) compared to the estimated Fair Price-To-Earnings Ratio (17.6x).
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
| Date | Share Price | Average 1Y Price Target | Dispersion | High | Low | 1Y Actual price | Analysts |
|---|---|---|---|---|---|---|---|
| Current | SEK 277.45 | SEK 271.60 -2.11% | 9.84% | SEK 310.00 | SEK 215.00 | n/a | 15 |
| Jul ’27 | SEK 278.25 | SEK 269.13 -3.28% | 10.29% | SEK 300.00 | SEK 215.00 | n/a | 15 |
| Jun ’27 | SEK 260.65 | SEK 265.07 +1.69% | 10.22% | SEK 300.00 | SEK 215.00 | n/a | 15 |
| May ’27 | SEK 245.00 | SEK 265.40 +8.33% | 10.20% | SEK 300.00 | SEK 215.00 | n/a | 15 |
| Apr ’27 | SEK 244.50 | SEK 272.21 +11.34% | 11.01% | SEK 320.00 | SEK 220.00 | n/a | 14 |
| Mar ’27 | SEK 286.80 | SEK 277.64 -3.19% | 9.23% | SEK 320.00 | SEK 235.00 | n/a | 14 |
| Feb ’27 | SEK 262.65 | SEK 277.64 +5.71% | 9.23% | SEK 320.00 | SEK 235.00 | n/a | 14 |
| Jan ’27 | SEK 263.90 | SEK 284.46 +7.79% | 11.24% | SEK 325.00 | SEK 225.00 | n/a | 13 |
| Dec ’26 | SEK 262.55 | SEK 286.00 +8.93% | 11.38% | SEK 325.00 | SEK 225.00 | n/a | 12 |
| Nov ’26 | SEK 262.75 | SEK 285.42 +8.63% | 11.56% | SEK 325.00 | SEK 225.00 | n/a | 12 |
| Oct ’26 | SEK 246.30 | SEK 283.17 +14.97% | 11.32% | SEK 325.00 | SEK 225.00 | n/a | 12 |
| Sep ’26 | SEK 256.45 | SEK 288.75 +12.60% | 10.91% | SEK 330.00 | SEK 230.00 | n/a | 12 |
| Aug ’26 | SEK 245.00 | SEK 290.00 +18.37% | 11.25% | SEK 330.00 | SEK 230.00 | SEK 278.55 | 11 |
| Jul ’26 | SEK 263.95 | SEK 305.82 +15.86% | 9.32% | SEK 345.00 | SEK 250.00 | SEK 278.25 | 11 |
| Jun ’26 | SEK 285.75 | SEK 310.69 +8.73% | 9.19% | SEK 345.00 | SEK 250.00 | SEK 260.65 | 13 |
| May ’26 | SEK 271.85 | SEK 311.46 +14.57% | 8.94% | SEK 345.00 | SEK 250.00 | SEK 245.00 | 13 |
| Apr ’26 | SEK 285.15 | SEK 319.25 +11.96% | 10.86% | SEK 375.00 | SEK 250.00 | SEK 244.50 | 12 |
| Mar ’26 | SEK 295.20 | SEK 321.58 +8.94% | 10.81% | SEK 375.00 | SEK 250.00 | SEK 286.80 | 12 |
| Feb ’26 | n/a | SEK 322.92 0% | 10.40% | SEK 375.00 | SEK 250.00 | SEK 262.65 | 12 |
| Jan ’26 | SEK 296.00 | SEK 326.91 +10.44% | 10.25% | SEK 380.00 | SEK 270.00 | SEK 263.90 | 11 |
| Dec ’25 | SEK 298.20 | SEK 325.18 +9.05% | 9.86% | SEK 380.00 | SEK 270.00 | SEK 262.55 | 11 |
| Nov ’25 | SEK 299.85 | SEK 320.91 +7.02% | 11.36% | SEK 380.00 | SEK 265.00 | SEK 262.75 | 11 |
| Oct ’25 | SEK 313.55 | SEK 321.27 +2.46% | 10.95% | SEK 375.00 | SEK 265.00 | SEK 246.30 | 11 |
| Sep ’25 | SEK 306.45 | SEK 310.27 +1.25% | 8.14% | SEK 340.00 | SEK 265.00 | SEK 256.45 | 11 |
| Aug ’25 | SEK 301.25 | SEK 307.38 +2.04% | 8.07% | SEK 340.00 | SEK 265.00 | SEK 245.00 | 13 |
Analyst Forecast: Target price is lower than the current share price.
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Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2026/08/05 17:17 |
| End of Day Share Price | 2026/08/03 00:00 |
| Earnings | 2026/06/30 |
| Annual Earnings | 2025/12/31 |
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.
| Package | Data | Timeframe | Example US Source * |
|---|---|---|---|
| Company Financials | 10 years |
| |
| Analyst Consensus Estimates | +3 years |
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| Market Prices | 30 years |
| |
| Ownership | 10 years |
| |
| Management | 10 years |
| |
| Key Developments | 10 years |
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* 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.
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 Github.
Analyst Sources
Essity AB (publ) is covered by 25 analysts. 14 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.
| Analyst | Institution |
|---|---|
| null null | ABG Sundal Collier |
| Warren Ackerman | Barclays |
| Iain Simpson | Barclays |