AI Spotlight on SCA
Company Description
Svenska Cellulosa Aktiebolaget SCA (publ), a forest products company, develops, produces, and sells forest, wood, pulp, and containerboard products.The company offers various wood products, industrial components, standard wood products, and raw materials, as well as logistic, warehouse, and IT solutions for the wood industry.It also provides pulp products under the Pure, Star, and Cirrus names; and Kraftliner products for consumer durables, electronics, hazardous goods, industrial products, fruit and vegetables, frozen foods, etc.
In addition, the company offers forwarding services for various transport modes, such as truck, rail, and barge, as well as marine and road and rail transport; terminal services; and liquid and solid biofuels, pellets, stall pellets, and wind energy.Further, it engages in the processing and distribution of wood products; production of Kraft and chemical thermomechanical pulps, and containerboards; and generation of energy from wind power projects, biomass, and by-products.The company has operation in Sweden, the United States, the United Kingdom, Germany, rest of Europe, Asia, and internationally.
Svenska Cellulosa Aktiebolaget SCA (publ) was founded in 1929 and is headquartered in Sundsvall, Sweden.
Market Data
Last Price | 152.8 |
Change Percentage | 2.93% |
Open | 143.6 |
Previous Close | 148.45 |
Market Cap ( Millions) | 97584 |
Volume | 2900484 |
Year High | 172.4 |
Year Low | 132.1 |
M A 50 | 141.61 |
M A 200 | 146.95 |
Financial Ratios
FCF Yield | 0.05% |
Dividend Yield | 1.81% |
ROE | 3.53% |
Debt / Equity | 0.56% |
Net Debt / EBIDTA | 5.75% |
Price To Book | 1.02 |
Price Earnings Ratio | 29.03 |
Price To FCF | 2084.43 |
Price To sales | 5.35 |
EV / EBITDA | 15.53 |
Business Breakdown
Expected Mid-Term Growth
Segment nยฐ1 -> Pulp
Expected Growth : 3.5 %
What the company do ?
Pulp from Svenska Cellulosa Aktiebolaget SCA (publ) refers to the production of wood pulp, a raw material used in paper, cardboard, and tissue products.
Why we expect these perspectives ?
SCA's pulp segment growth is driven by increasing demand for sustainable packaging, rising global tissue consumption, and strategic expansion into emerging markets. Additionally, SCA's focus on operational efficiency, cost savings, and investments in new technologies have improved production capacity and reduced costs, contributing to the 3.5% growth rate.
Segment nยฐ2 -> Containerboard
Expected Growth : 3.8 %
What the company do ?
Containerboard from Svenska Cellulosa Aktiebolaget SCA (publ) is a type of paperboard used for packaging, made from recycled fibers, offering sustainable and durable solutions.
Why we expect these perspectives ?
SCA's containerboard segment growth of 3.8% is driven by increasing e-commerce demand, rising packaging needs, and growing demand for sustainable packaging solutions. Additionally, SCA's strategic investments in production capacity expansion, cost savings initiatives, and product innovation are contributing to the segment's growth.
Segment nยฐ3 -> Wood
Expected Growth : 2.8 %
What the company do ?
Wood from Svenska Cellulosa Aktiebolaget SCA (publ) refers to the forestry and wood products segment of the Swedish company, providing sustainable wood and bioenergy solutions.
Why we expect these perspectives ?
SCA's wood segment growth of 2.8% is driven by increasing demand for sustainable packaging, rising construction activity in Europe, and strategic investments in modernizing production facilities. Additionally, the company's focus on eucalyptus pulp production and expanding presence in Asia contribute to its growth momentum.
Segment nยฐ4 -> Forest
Expected Growth : 3.2 %
What the company do ?
The Forest segment of Svenska Cellulosa Aktiebolaget SCA (publ) manages and harvests forests, producing timber and bioenergy products, with a focus on sustainable forestry practices.
Why we expect these perspectives ?
The 3.2% growth in Forest segment of Svenska Cellulosa Aktiebolaget SCA (publ) is driven by increasing demand for sustainable packaging, strong pulp prices, and efficient production processes. Additionally, strategic investments in forestry management and wood supply chain optimization have contributed to the segment's growth.
Segment nยฐ5 -> Renewable Energy
Expected Growth : 5.0 %
What the company do ?
Svenska Cellulosa Aktiebolaget SCA (publ) generates renewable energy from biomass and hydro power, reducing greenhouse gas emissions and reliance on fossil fuels.
Why we expect these perspectives ?
SCA's 5.0% growth in Renewable Energy is driven by increasing demand for sustainable forestry practices, government incentives for bioenergy production, and strategic investments in wind power and biogas facilities. Additionally, growing electricity demand from data centers and electrification of transportation fuels growth in this segment.
Svenska Cellulosa Aktiebolaget Sca (Publ) Products
Product Range | What is it ? |
---|---|
Tissue | SCA's tissue products include toilet paper, paper towels, and handkerchiefs, designed for personal hygiene and household use. |
Forest Products | SCA's forest products include sawlogs, pulpwood, and bioenergy products, sourced from sustainably managed forests. |
Packaging Paper | SCA's packaging paper products include kraftliner, sack paper, and containerboard, designed for packaging and transportation. |
Pulp | SCA's pulp products include bleached and unbleached pulp, used in the production of paper, board, and tissue products. |
Renewable Energy | SCA's renewable energy products include bioenergy, heat, and power, generated from sustainable forestry and waste management. |
Wood Products | SCA's wood products include sawn timber, planed goods, and engineered wood products, designed for construction and furniture making. |
Svenska Cellulosa Aktiebolaget SCA (publ)'s Porter Forces
Threat Of Substitutes
The threat of substitutes for Svenska Cellulosa Aktiebolaget SCA (publ) is medium due to the availability of alternative products such as recycled fibers and other sustainable materials.
Bargaining Power Of Customers
The bargaining power of customers for Svenska Cellulosa Aktiebolaget SCA (publ) is low due to the company's strong brand reputation and diversified customer base.
Bargaining Power Of Suppliers
The bargaining power of suppliers for Svenska Cellulosa Aktiebolaget SCA (publ) is medium due to the company's dependence on wood pulp and other raw materials.
Threat Of New Entrants
The threat of new entrants for Svenska Cellulosa Aktiebolaget SCA (publ) is low due to the high barriers to entry in the pulp and paper industry.
Intensity Of Rivalry
The intensity of rivalry for Svenska Cellulosa Aktiebolaget SCA (publ) is high due to the competitive nature of the pulp and paper industry.
Capital Structure
Value | |
---|---|
Debt Weight | 11.01% |
Debt Cost | 5.01% |
Equity Weight | 88.99% |
Equity Cost | 5.76% |
WACC | 5.68% |
Leverage | 12.37% |
Svenska Cellulosa Aktiebolaget SCA (publ) : Quality Control
Svenska Cellulosa Aktiebolaget SCA (publ) passed 3 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
Company | Rational |
---|---|
MNDI.L | Mondi plc engages in the manufacture and sale of packaging and paper products in Africa, Western Europe, Emerging Europe, Russia, North America, South America, Asia, and Australia. It operates in โฆ |
NVG.LS | The Navigator Company, S.A. manufactures and markets pulp and paper products. The company operates through Market Pulp, UWF Paper, Tissue Paper, and Energy segments. It produces bleached eucalyptus kraft pulp, โฆ |
BILL.ST | BillerudKorsnรคs AB (publ) provides fiber based packaging materials and solutions in Sweden and internationally. It operates through three segments: Product area Board, Product area Paper, and Solutions & Other. The โฆ |
STERV.HE | Stora Enso Oyj provides renewable solutions for the packaging, biomaterials, wooden constructions, and paper industries worldwide. It operates through Packaging Materials, Packaging Solutions, Biomaterials, Wood Products, Forest, Paper, and Other โฆ |
HOLM-B.ST | Holmen AB (publ) produces and sells paperboards, papers, wood products, and renewable energy in Sweden, Germany, the United Kingdom, France, Italy, rest of Europe, Asia, and internationally. The company's Forest โฆ |