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Stora Enso Oyj

STERV.HE
39
Packaging & Containers · Basic Materials
Price
€9.82
+0.09 (+0.97%)
Market Cap
€7.75B
Exchange
NASDAQ Helsinki
Winston Score
39
Winston is serious
Below-average fundamentals — multiple weak pillars.
Data as of Aug 23, 2026 · filings through Jun 30, 2026
How the score breaks down
Quality
Weak
Growth
Weak
Cash Flow
Mixed
Stability
Strong
Valuation
Strong
Dividends
Mixed

Winston Score History

The full picture

Stora Enso is a Finnish-Swedish company that makes packaging, paper, and wood products. Its main products include cardboard packaging for food and consumer goods, wood-based building materials, and pulp used to make paper and other products. It is one of the largest forest products companies in the world, with roots going back over 700 years.

The company earns money by selling these materials to manufacturers, retailers, construction companies, and publishers across Europe and beyond. Stora Enso operates primarily in Europe but also has production in Latin America and Asia, and it employs roughly 20,000 people. Its competitive edge comes from owning large amounts of forestland and having an integrated supply chain from raw wood to finished packaging. The key growth driver is rising demand for sustainable, renewable packaging as companies shift away from plastic, but weak industrial demand in Europe and high energy costs remain meaningful risks to profitability.

Share count broadly stable

+0.1% over 4y

The share count has stayed roughly flat over this period — little dilution or buyback activity.

Diluted shares outstanding: 789.1M (2021) → 789.7M (2025)

Score breakdown

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Quality

Profit per sale
Gross Margin
24.5%
Thin — 24.5% gross margin
Profit after running costs
Operating Margin
0.3%
Thin — 0.3% operating margin
Return on the money invested
ROCE
5.2%
Weak — 5.2% return on capital

ROIC between 5% and 15%. They earn 5 to 15 cents back per year on every dollar invested.

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Growth

Sales growth
Sales YoY
-0.6%
Shrinking sales (-0.6% YoY)
Profit growth
EPS YoY
N/A
Data not available
How steady the profit is
EPS Consistency
4/8 quarters
Earnings inconsistent quarter-to-quarter

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Cash Flow

Profit that turns into cash
Cash Conversion
92%
Modest — 92% of profit becomes cash
Spare cash per sale
FCF Margin
-0.5%
Burning cash (-0.5%)

Free cash flow is negative. They are burning cash, not generating it.

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Stability

What it owes vs what it owns
Debt / Equity
0.40
Conservative — low debt load (0.40)
Covers its interest
Interest Cover
5.38x
Adequate interest coverage (5.4x)

Interest coverage between 3 and 8. Profits cover interest several times over.

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Valuation

Price vs profit
P/E Ratio (TTM)
13.4x
Attractive valuation — P/E 13.4

P/E in the normal range. Price is roughly $15 for every $1 of yearly profit.

Cheaper or dearer next year
P/E vs Forward
+1.6
GROWING
Earnings expected to grow — slightly cheaper on forward P/E

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Dividends

Dividend
Dividend Yield
2.62%
Moderate income — 2.62% yield

Standard yield zone for stable dividend payers. A meaningful piece of total return.

Dividend record
Dividend Growth
-63.0%
Dividend cut (-63.0% YoY) — warning sign

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