Norion Bank AB (publ)

OM:NORION Stock Report

Market Cap: SEK 8.1b

Norion Bank Valuation

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

Valuation Score

5/6

Valuation Score 5/6

  • 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 NORION when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: NORION (SEK38.7) is trading below our estimate of fair value (SEK158.85)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for NORION. This is calculated by dividing NORION's market cap by their current earnings.
What is NORION's PE Ratio?
PE Ratio6.3x
EarningsSEK 1.26b
Market CapSEK 8.14b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for NORION vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average9.6x
TFBANK TF Bank
14.6x29.7%SEK 6.8b
SHB A Svenska Handelsbanken
8.2x-6.0%SEK 221.5b
SWED A Swedbank
7.1x-8.7%SEK 243.5b
SEB A Skandinaviska Enskilda Banken
8.4x-7.3%SEK 309.4b
NORION Norion Bank
6.3x10.5%SEK 8.1b

Price-To-Earnings vs Peers: NORION is good value based on its Price-To-Earnings Ratio (6.3x) compared to the peer average (9.6x).

Price to Earnings Ratio vs Industry

How does NORION's PE Ratio compare vs other companies in the European Banks Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
NORION 6.3xIndustry Avg. 7.4xNo. of Companies45PE0612182430+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: NORION is good value based on its Price-To-Earnings Ratio (6.3x) compared to the European Banks industry average (7.4x).

Price to Earnings Ratio vs Fair Ratio

What is NORION'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.

NORION PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio6.3x
Fair PE Ratio8.4x

Price-To-Earnings vs Fair Ratio: NORION is good value based on its Price-To-Earnings Ratio (6.3x) compared to the estimated Fair Price-To-Earnings Ratio (8.4x).

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 NORION forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentSEK 38.70
SEK 51.00
+31.8%
2.0%SEK 52.00SEK 50.00n/a2
Nov ’25SEK 40.70
SEK 51.00
+25.3%
2.0%SEK 52.00SEK 50.00n/a2
Oct ’25SEK 43.25
SEK 50.50
+16.8%
1.0%SEK 51.00SEK 50.00n/a2
Sep ’25SEK 41.50
SEK 50.50
+21.7%
1.0%SEK 51.00SEK 50.00n/a2
Aug ’25SEK 40.10
SEK 50.50
+25.9%
1.0%SEK 51.00SEK 50.00n/a2
Jul ’25SEK 43.95
SEK 51.50
+17.2%
2.9%SEK 53.00SEK 50.00n/a2
Jun ’25SEK 42.20
SEK 51.50
+22.0%
2.9%SEK 53.00SEK 50.00n/a2
May ’25SEK 41.00
SEK 51.50
+25.6%
2.9%SEK 53.00SEK 50.00n/a2
Apr ’25SEK 46.70
SEK 51.00
+9.2%
2.0%SEK 52.00SEK 50.00n/a2
Mar ’25SEK 45.25
SEK 48.50
+7.2%
7.2%SEK 52.00SEK 45.00n/a2
Feb ’25SEK 41.50
SEK 46.50
+12.0%
3.2%SEK 48.00SEK 45.00n/a2
Jan ’25SEK 43.35
SEK 46.50
+7.3%
3.2%SEK 48.00SEK 45.00n/a2
Dec ’24SEK 39.20
SEK 45.50
+16.1%
1.1%SEK 46.00SEK 45.00n/a2

Analyst Forecast: Target price is more than 20% higher than the current share price, but there are not enough analysts covering the stock to determine statistical confidence in agreement.

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