Rankings Grid & electrical equipment ABB
ABB
83
15070100
A view of the same findings, not a new score. How it works
A strong score: the model found few serious problems, but analysts see limited upside from here.
Biggest deductions
- Multiples vs own history−6
- FCF yield−3
- Dependence on the data center cycle−3
Strengths
- Raised guidance+2
- Buybacks+1
- Rising return on capital+1
How the score is built
From 100 to 83, step by step: points off for the business, the price and the cracks, back for documented strengths, then three data adjustments.
Start
Score
Hover or select a step to see what drove it. Steps with findings open them below.
Key numbers
As of 3 Nov 2026. Analyst targets tend to be optimistic; read upside as a hint, not a forecast.
- Price
- 70.92 CHF
- Median analyst target
- 80.93 CHF
- Upside to median
- +14.1%
- Analysts
- 27
- Target range
- 66.18 – 95.40 CHF
- 52-week change
- +17%
- P/E (trailing)
- 31.0
- Forward P/E
- 22.4
- PEG
- 1.27
Findings
Every deduction and every plus, with its source. Open a step to read them.
Business
Is the company getting stronger, not just bigger? · 2 findings−4 of −30
- −2Quality of growthRevenue grew only from 28.9 to USD 33.2bn in 2021–2025 (approx. 3.5% a year, with a decline in 2024), and only now are data centres lifting growth; Motion has only gone from 6.9 to USD 8.7bn in five years, so much of the growth rests on one end market.
- −2Capital allocationABB is buying Rotork for about USD 5.5bn – the company's largest acquisition ever – at a premium of 73% to the closing price and 63% to the three-month average price; the acquisition is expected to increase EPS only in year two.
Price
Today's multiples against the company's own history and its peers. · 3 findings−11 of −35
- −6Multiples vs own historyTrailing P/E 37.6 vs 16.8–28.7 in 2021–2025, EV/EBITDA 25.3 vs 14.2–21.0, P/S 5.2 vs 1.9–4.1 and P/B 11.3 vs 4.3–8.2 – record high on all measures after +38% in a year and a quadrupling of the share price since 2022.
- −3FCF yieldFCF yield 2.6% (P/FCF 38) vs 3.3-4.3% in 2023-2025; analysts expect FCF of only USD 4.85bn in 2026, about 6% above 2025.
- −2Peers and consensus20 of 26 analysts recommend 'hold', and five price targets from September (Barclays, Berenberg, Bernstein, Deutsche Bank, TD Cowen) are at CHF 76–83, i.e. below or around the price; P/E 27 was already called a valuation with no margin for error for an industrial conglomerate in the spring.
Cracks
Cash flow, customers, debt, insiders, guidance and what sits behind the headline numbers. · 3 findings−6 of −35
- −3Dependence on the data center cycleOrders have been lifted by data centres (orders for power supplies to US data centres +67% in Q1 2026); the price assumes AI investments continue, and analysts expect EPS growth to flatten out in the coming years.
- −2Integration and portfolio shiftRobotics is to be divested in H2 2026 and Rotork (awaiting approvals, closing H1 2027) is integrated at the same time – two large transactions at once in a group that has just reorganised into three divisions.
- −1CurrencyReports in USD, primary listing in CHF and Nordnet trading in SEK: a weaker dollar lowers the reported figures in CHF/SEK, and the stock's return for a Danish investor depends on two currency crosses.
Plus
Only documented strengths. · 3 findings+4 of +15
- +2Raised guidanceFull-year guidance raised to low double-digit to low-teens comparable revenue growth after record orders of USD 12.0bn in Q2 (+28% comparable) and an EBITA margin of 20.2% (+90 bp).
- +1BuybacksBuyback programme of up to USD 2bn; the share count has fallen 1.1% over a year, and dividend plus buybacks are below FCF of USD 4.9bn (TTM).
- +1Rising return on capitalROIC has risen from 17.9% (2021) to 25.1% and operating margin from 13.2% to 17.7%; net debt/EBITDA only 0.3x.
Caveats
What the score does not capture, or where the data is weak.
The Nordnet listing is Stockholm (SEK), but stockanalysis has no data for quote/sto/ABB, so the main SIX listing (quote/swx/ABBN, CHF) is used. Financials are in USD and the price in CHF, so stockanalysis' forward P/E (22.4) mixes currencies; converted, forward P/E is about 29-32. The Robotics sale (about USD 4.8bn net, H2 2026) and the Rotork acquisition (H1 2027) change the group's composition. Insider trading not investigated.
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