Stora Enso: Cyclical risk haunts even though guidance increased

Company report
Antti-Pekka Viljakainen
2022-06-14 09:31
#Stora Enso

Stora Enso issued a positive earnings revision yesterday for the current year, but the expected revision did not change estimates much. We feel the risk of Stora Enso’s cyclical earnings peak approaching is significant, which we believe the market is increasingly nervous about as economic growth slows down and inflation wreaks havoc. Thus, we do not see purchases worth the risk at the moment, even if the company's valuation is not unreasonable. 

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