- Valmet’s Q4 orders significantly exceeded expectations, reaching €2.46 billion compared to €1.16 billion a year ago, and surpassing the estimate of €1.97 billion.
- Net sales for the quarter were €1.53 billion, up 1.9% year-over-year, slightly under the estimate of €1.55 billion.
- Earnings before interest and taxes (Ebit) amounted to €150 million, a 1.4% increase from the previous year.
- Earnings per share (EPS) decreased to €0.53 from €0.56 a year earlier, missing the estimate of €0.60.
- Adjusted Ebita was €192.0 million, slightly below the estimate of €193.2 million, with an adjusted Ebita margin of 12.6%, above last year’s 12.2% but short of the 12.8% estimate.
- The proposed dividend per share for 2024 is €1.35, slightly below the estimated €1.37, representing 89% of the net result, to be paid in two installments.
- For the year forecast, net sales are expected to be approximately €5.36 billion, nearly matching the estimate of €5.37 billion.
- Adjusted Ebita for the year is projected to be about €609 million, falling short of the €653.3 million estimate.
- Items affecting comparability totaled -€19 million, primarily impacting the Process Technologies and Automation segments.
- Valmet anticipates stable customer activity in Process Technologies and Automation.
- Customer activity in Services is anticipated to gradually improve, but uncertainties remain due to capacity utilization rates and customer profitability levels.
- Analyst recommendations include 8 buys, 3 holds, and 2 sells.
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A look at Valmet OYJ Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 4 | |
| Growth | 4 | |
| 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
Valmet OYJ, a company specializing in providing services and technologies to industries such as pulp, paper, and energy, shows a promising long-term outlook according to Smartkarma Smart Scores. With a solid score of 4 in both Dividend and Growth, investors can expect good returns and steady income from this company over time. Additionally, the company scores a respectable 3 in both Value and Resilience, indicating a relatively stable financial standing and market positioning. However, with a Momentum score of 3, Valmet OYJ may lack the rapid growth seen in some other companies.
In summary, Valmet OYJ is well-positioned to provide consistent dividends and sustainable growth opportunities in the long run, supported by its strong scores in Dividend and Growth. While it may not be the most dynamic player in the market, the company’s value, resilience, and focus on essential industries like pulp, paper, and energy provide a solid foundation for investors looking for stability and potential returns.
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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