Rankings Machinery & automation Valmet
Valmet
65
15070100
A view of the same findings, not a new score. How it works
A good business with a real question mark: the price, a crack, or both.
Biggest deductions
- Order decline−5
- Quality of growth−3
- Margin−3
Strengths
- Cost savings+1
How the score is built
From 100 to 65, 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
- 28.96 EUR
- Median analyst target
- 32.50 EUR
- Upside to median
- +12.2%
- Analysts
- 6
- Target range
- 28.00 – 36.50 EUR
- 52-week change
- +4%
- P/E (trailing)
- 18.8
- Forward P/E
- 13.1
- PEG
- 3.28
Findings
Every deduction and every plus, with its source. Open a step to read them.
Business
Is the company getting stronger, not just bigger? · 4 findings−11 of −30
- −3Quality of growthRevenue has fallen from EUR 5.53bn (2023) to 5.33bn (TTM), and 2026 guidance is flat revenue vs 2025 (5.20bn).
- −3MarginComparable EBITA margin 11.5% in Q2 (unchanged), operating margin 10.1% and net margin only 5.6% (TTM); gross margin 27%. The net margin has fallen from 7.5% in 2021.
- −3ROIC and the Neles mergerROIC has halved from 24% (2021) to 11.4% (TTM) after the merger with Neles, which diluted shareholders (17.5% in 2022) and turned net cash of EUR 88m into net debt of 960m.
- −2Future segmentDemand for traditional paper is in structural decline, and the service business within biomaterials is expected to remain weak in the coming quarters. A large part of Valmet's customer base is shrinking.
Price
Today's multiples against the company's own history and its peers. · 2 findings−4 of −35
- −2Multiples vs own historyForward P/E 15.2 vs 10.0–18.2 in 2021–2025, EV/EBITDA 8.3 vs 8.0–11.5 and P/B 2.0 vs 1.6–4.2 – mid to low in the range, but on falling orders.
- −2FCF yieldP/FCF 15.7 (TTM) vs 9.1–10.5 in 2024–2025. FCF has fallen to EUR 324m (TTM) from 496m in 2025, and analysts expect only 327m in 2026 (FCF yield approx. 6.5%).
Cracks
Cash flow, customers, debt, insiders, guidance and what sits behind the headline numbers. · 4 findings−9 of −35
- −5Order declineOrder intake fell 10% in Q2 2026 and 14% in H1 (organic −12%), driven by fewer capital projects. Orders in Q4 2025 were almost halved, and customers are postponing investments.
- −2DebtNet debt EUR 960m, debt/EBITDA 2.2x and Altman Z-score 2.04; the dividend corresponds to 77% of FCF and 83% of net profit.
- −1Management changeCFO Katri Hokkanen left the company at the end of September 2026; there is an interim CFO in October, and the new CFO starts on 1 November.
- −1Macro and visibilityThe company itself says that geopolitical and economic uncertainty is high and reduces short-term visibility, and that the market for Process Performance Solutions is growing only slowly.
Plus
Only documented strengths. · 1 finding+1 of +15
- +1Cost savingsComparable EBITA rose 6% in Q2 to EUR 152m despite falling orders, helped by savings from the renewal of the operating model.
Caveats
What the score does not capture, or where the data is weak.
Treated as cyclical: orders for capital projects follow the investment cycle in the pulp and paper industry (similar to chip equipment for semiconductors), although service and automation dampen the swings. The merger with Neles in 2022 makes historical ROIC and share figures less comparable. Only 6 analysts. Not examined: insider trades, competition from Andritz and Chinese suppliers, and customer concentration on large projects.
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