Alfa Laval AB (publ)

OM:ALFA Stock Report

Market Cap: SEK 192.7b

Alfa Laval Valuation

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

Valuation Score

1/6

Valuation Score 1/6

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

Below Fair Value: ALFA (SEK476.5) is trading below our estimate of fair value (SEK536.94)

Significantly Below Fair Value: ALFA is trading below fair value, but not by a significant amount.

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for ALFA. This is calculated by dividing ALFA's market cap by their current earnings.
What is ALFA's PE Ratio?
PE Ratio28.6x
EarningsSEK 6.90b
Market CapSEK 192.73b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for ALFA vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average24.1x
SAND Sandvik
20.8x15.0%SEK 252.3b
INDT Indutrade
36x11.0%SEK 97.0b
TREL B Trelleborg
22.9x11.7%SEK 82.4b
SKF B AB SKF
16.5x14.3%SEK 91.7b
ALFA Alfa Laval
28.6x9.6%SEK 192.7b

Price-To-Earnings vs Peers: ALFA is expensive based on its Price-To-Earnings Ratio (28.6x) compared to the peer average (24.1x).

Price to Earnings Ratio vs Industry

How does ALFA's PE Ratio compare vs other companies in the SE Machinery Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No more companies available in this PE range
ALFA 28.6xIndustry Avg. 24.2xNo. of Companies5PE01224364860+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: ALFA is expensive based on its Price-To-Earnings Ratio (28.6x) compared to the Swedish Machinery industry average (24.2x).

Price to Earnings Ratio vs Fair Ratio

What is ALFA'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.

ALFA PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio28.6x
Fair PE Ratio26.2x

Price-To-Earnings vs Fair Ratio: ALFA is expensive based on its Price-To-Earnings Ratio (28.6x) compared to the estimated Fair Price-To-Earnings Ratio (26.2x).

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 ALFA forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentSEK 476.50
SEK 459.94
-3.5%
14.6%SEK 580.00SEK 360.00n/a18
Nov ’25SEK 469.30
SEK 456.17
-2.8%
14.5%SEK 580.00SEK 360.00n/a18
Oct ’25SEK 488.60
SEK 448.72
-8.2%
13.4%SEK 545.00SEK 360.00n/a18
Sep ’25SEK 459.90
SEK 445.94
-3.0%
13.8%SEK 545.00SEK 355.00n/a18
Aug ’25SEK 460.20
SEK 447.71
-2.7%
14.3%SEK 545.00SEK 325.00n/a17
Jul ’25SEK 469.90
SEK 439.41
-6.5%
14.2%SEK 535.00SEK 325.00n/a17
Jun ’25SEK 485.20
SEK 428.47
-11.7%
14.6%SEK 535.00SEK 325.00n/a17
May ’25SEK 473.60
SEK 414.35
-12.5%
16.4%SEK 540.00SEK 297.00n/a17
Apr ’25SEK 420.80
SEK 379.12
-9.9%
12.6%SEK 450.00SEK 285.00n/a17
Mar ’25SEK 393.60
SEK 378.71
-3.8%
13.2%SEK 475.00SEK 285.00n/a17
Feb ’25SEK 386.20
SEK 384.82
-0.4%
12.8%SEK 475.00SEK 285.00n/a17
Jan ’25SEK 403.40
SEK 391.18
-3.0%
12.6%SEK 475.00SEK 305.00n/a17
Dec ’24SEK 391.50
SEK 390.00
-0.4%
12.6%SEK 475.00SEK 305.00n/a17
Nov ’24SEK 355.00
SEK 388.76
+9.5%
12.5%SEK 455.00SEK 297.00SEK 469.3017
Oct ’24SEK 375.80
SEK 387.94
+3.2%
13.0%SEK 455.00SEK 290.00SEK 488.6017
Sep ’24SEK 387.90
SEK 384.18
-1.0%
14.6%SEK 470.00SEK 290.00SEK 459.9017
Aug ’24SEK 390.60
SEK 380.44
-2.6%
15.1%SEK 470.00SEK 267.00SEK 460.2018
Jul ’24SEK 393.00
SEK 370.84
-5.6%
15.9%SEK 470.00SEK 267.00SEK 469.9019
Jun ’24SEK 390.80
SEK 362.79
-7.2%
15.4%SEK 451.00SEK 267.00SEK 485.2019
May ’24SEK 375.50
SEK 359.94
-4.1%
16.8%SEK 451.00SEK 233.00SEK 473.6018
Apr ’24SEK 369.70
SEK 336.68
-8.9%
15.2%SEK 430.00SEK 233.00SEK 420.8019
Mar ’24SEK 348.50
SEK 327.39
-6.1%
14.9%SEK 410.00SEK 216.00SEK 393.6018
Feb ’24SEK 330.30
SEK 306.18
-7.3%
14.9%SEK 360.00SEK 216.00SEK 386.2017
Jan ’24SEK 301.10
SEK 295.89
-1.7%
13.6%SEK 360.00SEK 213.00SEK 403.4018
Dec ’23SEK 303.90
SEK 292.41
-3.8%
12.9%SEK 345.00SEK 213.00SEK 391.5017
Nov ’23SEK 275.10
SEK 286.88
+4.3%
11.4%SEK 332.00SEK 213.00SEK 355.0017

Analyst Forecast: Target price is lower than the current share price.

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