| Valuation method | Value, £ | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 21.40 | 75 |
| Intrinsic value (DCF) | 6.10 | -50 |
| Graham-Dodd Method | n/a | |
| Graham Formula | 3.00 | -75 |
Fiskars Oyj Abp is a Finnish consumer goods company with a rich heritage dating back to 1649. Headquartered in Helsinki, Fiskars operates globally, manufacturing and marketing a diverse range of products under well-known brands such as Iittala, Royal Copenhagen, Waterford, Wedgwood, and Gerber. The company operates through four segments: Vita (tableware, drinkware, and interior products), Terra (gardening and outdoor products), Crea (scissors and crafting tools), and Other (real estate and timber). Fiskars is renowned for its high-quality, design-driven products that cater to both functional and aesthetic needs. With a strong presence in Europe, the Americas, and the Asia Pacific, Fiskars leverages its brand equity and innovation to maintain a competitive edge in the consumer cyclical sector. The company’s commitment to sustainability and timeless design further enhances its appeal in the global market.
Fiskars Oyj Abp presents a mixed investment profile. The company benefits from strong brand recognition and a diversified product portfolio, which provides resilience against market fluctuations. However, its financial performance shows modest net income (€27.1 million) relative to revenue (€1.16 billion), indicating potential margin pressures. The company’s operating cash flow (€112.3 million) and dividend yield (€0.83 per share) are positive indicators, but high total debt (€554.7 million) raises concerns about financial leverage. The beta of 0.857 suggests lower volatility compared to the market, which may appeal to risk-averse investors. Overall, Fiskars’ long-standing reputation and global reach are strengths, but investors should weigh these against its debt levels and modest profitability.
Fiskars Oyj Abp competes in the consumer goods sector with a focus on design-led, high-quality products. Its competitive advantage lies in its strong brand portfolio, including iconic names like Iittala and Wedgwood, which command premium pricing and customer loyalty. The company’s diversified product range across tableware, gardening, and crafting tools mitigates risks associated with reliance on a single category. However, Fiskars faces intense competition from global and regional players, particularly in cost-sensitive markets. Its real estate and timber operations provide additional revenue streams but are not core to its consumer goods business. The company’s ability to innovate and maintain design excellence is critical to sustaining its market position. While Fiskars has a solid foothold in Europe, expanding its presence in high-growth markets like Asia Pacific remains a challenge. Competitors with stronger e-commerce capabilities or lower-cost manufacturing bases could pose threats to Fiskars’ market share.