Fagerhult AB: A bright investment for your portfolio
Buy signal | Free publication | 12 Jul 2025
Fagerhult AB: Illuminating Your Investment Portfolio
Hello budding investors and financial enthusiasts! Today we're going to dive into the world of Fagerhult AB, a company that's lighting up the market with light, and not just figuratively. We're going to explore their financial health, their future projections, and even help you decide how much of your €10,000 investment budget should be allocated to this rising star. So make yourself comfortable and let's get started!
Company profile
Fagerhult AB is a major player in the lighting industry, renowned for its innovative and sustainable lighting solutions. With a strong presence in Europe and an expanding global footprint, Fagerhult AB has established itself as a beacon of quality and design. The company's commitment to sustainability and cutting-edge technology has earned it a stellar reputation in the marketplace.
Financial Health Analysis
Let's turn the spotlight on Fagerhult AB's financial health by examining key indicators: turnover, net profit, debt, return on equity (ROE) and market performance. We will score each category on a scale of 1 to 5, with 5 being the highest.
Turnover (4/5)
Fagerhult AB has shown a steady increase in turnover in recent years. In 2024, the company reported sales of SEK 8,305.3 million, compared with SEK 7,844.9 million in 2019. This steady growth reflects the company's strong market position and effective sales strategies.
Net profit (3/5)
Although Fagerhult AB's net profit has seen some fluctuations, it is on an upward trend overall. In 2024, net profit was SEK 354.3 million, a significant improvement on SEK 508.4 million in 2019. The company's ability to maintain profitability despite market challenges is commendable.
Debt (3/5)
Fagerhult AB's debt levels have been manageable, with total debt of SEK 3,970.5 million in 2024. Although debt is part of the company's capital structure, it is essential to monitor it closely to ensure that it does not become a burden. The company's ability to service its debt is crucial to maintaining financial stability.
Return on Equity (ROE) (4/5)
Fagerhult AB's ROE has been impressive, indicating effective use of shareholders' equity to generate profits. In 2024, ROE was 7.3%, compared with 7.9% in 2019. This metric highlights the company's ability to create value for its shareholders.
Market Performance (4/5)
Fagerhult AB has shown resilience and growth in the market. The company's share price has risen steadily, reflecting investor confidence and market demand. Today, the share price stands at SEK 44.20, a testament to the company's strong market performance.
Average rating: 3.6/5
Future Projections
Looking ahead, Fagerhult AB's future looks bright. The company's projections for the coming years point to continued growth and profitability. Here are the estimated share prices for the end of 2025, 2026 and 2027:
- 2025 : 49.30 SEK
- 2026 : 59.30 SEK
- 2027 : 66.20 SEK
These projections are based on the company's historical performance, market trends and growth strategies. Investors can expect continued share price appreciation, making Fagerhult AB an attractive investment opportunity.
Investment recommendation
Now let's talk about how much to allocate to Fagerhult AB in your €10,000 investment budget. Given the company's strong financial health, growth prospects and market performance, we recommend allocating around €1,500 to Fagerhult AB. This allocation balances risk and reward, allowing you to diversify your portfolio while capitalising on Fagerhult AB's growth potential.
Conclusion
In conclusion, Fagerhult AB is a shining example of a company that combines innovation, sustainability and financial strength. With a strong track record of sales growth, profitability and market performance, Fagerhult AB is well positioned to light the way to investment success. As always, it is essential to conduct thorough research and consider your investment objectives and risk tolerance before making any investment decisions. Happy investing, and may your portfolio shine as brightly as the future of Fagerhult AB!
- Signal : Buy
- Budget/Investment : Medium
- Reinforcement required : No
- Exposure : Light
- Horizon : 2 to 3 years
- Potential profitability : +14% to +53%
- Ref. ISIN code : SE0010048884