- Stora Enso’s second-quarter sales reached EU2.43 billion, closely matching market estimates of EU2.44 billion.
- The company’s adjusted earnings per share (EPS) were EU0.050, which fell short of the estimated EU0.08.
- Adjusted EBIT was reported at EU126 million, exceeding the market expectation of EU123 million.
- The adjusted EBITDA margin was recorded at 11.5%.
- Analyst recommendations include 13 buys, 3 holds, and 3 sells.
Stora Enso OYJ on Smartkarma
Investment analyst Jesus Rodriguez Aguilar on Smartkarma has published a bullish research report titled “Stora Enso: Hidden Forest Value Unlock With a Clean Break Catalyst“. In the report, Aguilar highlights that Stora Enso’s forest spin-off is expected to unlock hidden NAV and improve valuation transparency. This strategic move, while not reducing debt as shares are directly distributed to shareholders, is anticipated to sharpen the group’s profile and create a potential re-rating opportunity. The report also emphasizes that Stora Enso’s industrial operations are undervalued compared to peers, signifying the potential for upside in the event of a cyclical recovery. Moreover, the Sum-Of-The-Parts (SOTP) path simplification is seen as a step to address conglomerate discount and enhance investor transparency.
A look at Stora Enso OYJ Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 5 | |
| Dividend | 3 | |
| Growth | 3 | |
| Resilience | 3 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 3.4 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Stora Enso OYJ, an integrated paper, packaging, and forest products company, holds a strong outlook for the long term according to the Smartkarma Smart Scores. With a top score in value, the company is deemed highly attractive in terms of its financial standing and market position. This indicates promising prospects for investors seeking undervalued opportunities.
Furthermore, Stora Enso OYJ secures respectable scores in growth, resilience, and momentum, highlighting its steady performance and potential for future development. Despite not leading in every category, the company’s overall outlook remains solid, positioning it as a reliable choice within the industry for sustainable returns over time.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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