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Stock Analysis & ValuationInterroll Holding AG (INRN.SW)

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CHF1,860.00
Sector Valuation Confidence Level
Moderate
Valuation methodValue, CHFUpside, %
Artificial intelligence (AI)1751.08-6
Intrinsic value (DCF)1015.84-45
Graham-Dodd Method447.91-76
Graham Formula238.47-87

Strategic Investment Analysis

Company Overview

Interroll Holding AG (INRN.SW) is a global leader in internal logistics solutions, providing high-performance products such as rollers, drives, conveyors, sorters, and pallet handling systems. Founded in 1959 and headquartered in Sant'Antonino, Switzerland, the company serves a diverse range of industries, including courier, express, and parcel (CEP), e-commerce, automotive, fashion, food and beverage, and warehousing. Interroll’s innovative solutions enhance efficiency in material handling, automation, and warehouse optimization, making it a key player in the industrial machinery sector. With a strong focus on sustainability and smart logistics, Interroll caters to OEMs, system integrators, and end-users worldwide. The company’s Swiss precision engineering and global distribution network reinforce its reputation for reliability and cutting-edge technology in the fast-growing logistics automation market.

Investment Summary

Interroll Holding AG presents a compelling investment case due to its strong market position in the industrial logistics sector, consistent revenue growth, and robust cash flow generation. The company benefits from increasing demand for automation in warehousing and e-commerce logistics. However, its high beta (1.094) suggests sensitivity to broader market volatility, and its dividend yield, while stable, may not appeal to high-growth investors. The company’s low debt levels (CHF 9.3M) and solid cash reserves (CHF 204M) provide financial stability, but competition from larger industrial automation players could pressure margins. Investors should weigh its niche expertise against exposure to cyclical industrial demand.

Competitive Analysis

Interroll Holding AG holds a competitive advantage through its specialized focus on internal logistics components, differentiating itself from broader industrial automation firms. Its product portfolio, including energy-efficient rollers and modular conveyor systems, is highly regarded for reliability and innovation. The company’s Swiss engineering heritage ensures premium quality, though this may come at a cost disadvantage compared to Asian competitors. Interroll’s direct sales and strong relationships with OEMs and integrators enhance its market penetration. However, it faces competition from larger players like Daifuku and Honeywell, which offer end-to-end automation solutions. Interroll’s agility and niche expertise allow it to innovate quickly, but its smaller scale limits its ability to compete on large-scale turnkey projects. The growing trend toward warehouse automation and smart logistics presents both opportunities and threats, as rivals invest heavily in robotics and AI-driven solutions.

Major Competitors

  • Daifuku Co., Ltd. (6383.T): Daifuku is a global leader in material handling systems, offering comprehensive automation solutions, including AS/RS and AGVs. Its scale and end-to-end capabilities pose a threat to Interroll’s component-focused model. However, Daifuku’s complexity can lead to higher implementation costs, whereas Interroll excels in modular, flexible solutions.
  • Honeywell International Inc. (HON): Honeywell’s Intelligrated division competes directly with Interroll in conveyor and sortation systems. Honeywell’s vast resources and integrated software solutions give it an edge in large-scale deployments, but Interroll’s specialization in high-quality components appeals to clients seeking best-in-class modular systems.
  • Konecranes Oyj (KNEBV.HE): Konecranes focuses on heavy lifting and port solutions but overlaps with Interroll in warehouse automation. Its broader industrial reach provides diversification, but Interroll’s dedicated logistics focus allows for deeper innovation in conveyor and sorter technologies.
  • Swisslog Holding AG (SDA.SW): A subsidiary of KUKA, Swisslog offers automated warehouse solutions, competing with Interroll in the European market. Swisslog’s strength lies in software integration and robotics, while Interroll maintains an advantage in standardized, high-performance hardware components.
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