As of May 25, 2025, Soltech Energy Sweden AB has a Discounted Cash Flow (DCF) derived fair value of $105.58 per share. With the current market price at $2.19, this represents a potential upside of 4721.1%.
| Key Metrics | Value |
|---|---|
| DCF Fair Value (5-year) | $3.14 |
| DCF Fair Value (10-year) | $105.58 |
| Potential Upside (5-year) | 43.4% |
| Potential Upside (10-year) | 4721.1% |
| Discount Rate (WACC) | 6.1% - 8.5% |
Revenue is projected to grow from $2406 million in 12-2024 to $18832 million by 12-2034, representing a compound annual growth rate of approximately 22.8%.
| Fiscal Year | Revenue (USD millions) | Growth |
|---|---|---|
| 12-2024 | 2406 | 17% |
| 12-2025 | 2605 | 8% |
| 12-2026 | 3583 | 38% |
| 12-2027 | 4769 | 33% |
| 12-2028 | 6126 | 28% |
| 12-2029 | 7716 | 26% |
| 12-2030 | 9682 | 25% |
| 12-2031 | 11669 | 21% |
| 12-2032 | 13826 | 18% |
| 12-2033 | 16205 | 17% |
| 12-2034 | 18832 | 16% |
Net profit margin is expected to improve from -12% in 12-2024 to 5% by 12-2034, driven by operational efficiency and economies of scale.
| Fiscal Year | Net Profit (USD millions) | Profit Margin |
|---|---|---|
| 12-2024 | (278) | -12% |
| 12-2025 | (215) | -8% |
| 12-2026 | (191) | -5% |
| 12-2027 | (122) | -3% |
| 12-2028 | 4 | 0% |
| 12-2029 | 198 | 3% |
| 12-2030 | 294 | 3% |
| 12-2031 | 410 | 4% |
| 12-2032 | 550 | 4% |
| 12-2033 | 719 | 4% |
| 12-2034 | 921 | 5% |
with a 5-year average of $0 million. Projected CapEx is expected to maintain at approximately 0% of revenue.
Depreciation is based on an average useful life of 5 years for capital assets.
| Fiscal Year | D&A (USD millions) |
|---|---|
| 12-2025 | 0 |
| 12-2026 | 0 |
| 12-2027 | 0 |
| 12-2028 | 0 |
| 12-2029 | 0 |
| 12-2030 | 0 |
Net working capital is expected to increase gradually, with projected changes affecting free cash flow.
| Components | Average Days |
|---|---|
| Days Receivables | 73 |
| Days Inventory | 49 |
| Days Payables | 51 |
| Fiscal Year | EBITDA | Tax | CapEx | Change in NWC | FCF |
|---|---|---|---|---|---|
| 2025 | (109) | (11) | 0 | 132 | (230) |
| 2026 | (40) | (10) | 0 | 136 | (166) |
| 2027 | 85 | (6) | 0 | 212 | (120) |
| 2028 | 279 | 0 | 0 | 284 | (6) |
| 2029 | 554 | 10 | 0 | 272 | 271 |
| Valuation Method | Fair Price (USD) | Potential Upside |
|---|---|---|
| 5-Year DCF (Growth) | 3.14 | 43.4% |
| 10-Year DCF (Growth) | 105.58 | 4721.1% |
| 5-Year DCF (EBITDA) | 7.76 | 254.3% |
| 10-Year DCF (EBITDA) | 51.29 | 2241.9% |
Is Soltech Energy Sweden AB (SOLT.ST) a buy or a sell? Soltech Energy Sweden AB is definitely a buy. Based on our DCF analysis, Soltech Energy Sweden AB (SOLT.ST) appears to be significantly undervalued with upside potential of 4721.1%. The company's strong projected growth in revenue and profitability, coupled with consistent capital expenditure, supports our positive outlook on its intrinsic value.
Key investment drivers include:
Investors should consider a strong buy at the current market price of $2.19.