Sandvik as an investment

We continue to thrive on our productivity and sustainability offering based on more than 150 years of leading materials and applications know-how.

To remain relevant also in the future we increasingly combine our core competencies with new digital technologies, enabling us to broaden the customer offering. Our strong balance sheet supports both organic and acquisitive growth.

Our world is cyclical, and we believe that our decentralized business model increases agility and speed in our operative decision making, helping us reduce earnings volatility and increase predictability.

We target higher margin, resulting in improved through-cycle performance going forward.


Stefan Widing, President and CEO:

"In Sandvik, we have close to 25 operational management teams working close to our customers. Each team is responsible for developing the business and continuously improve its performance. We are committed to achieving improved through-cycle performance."

Share graph

Ownership structure

Ownership structure as of 30 June, 2020, the ten largest shareholder groups
Shareholders No. of shares Share capital
Industrivärden 157,400,000 12.5%
Alecta Pensionsförsäkring 65,329,000 5.2%
Swedbank Robur Fonder 44,217,642 3.5%
BlackRock 34,590,542 2.8%
Vanguard 33,249,520 2.7%
Lundbergföretagen AB 30,000,000 2.4%
AMF Försäkring & Fonder 29,397,901 2.3%
SEB Fonder 29,314,577 2.3%
Norges Bank 24,831,031 2.0%
Handelsbanken Fonder 19,828,216 1.6%
10 largest owners, total 468,158,429 37.3%
Number of shareholders: 109,365

Source: Monitor Sweden AB

Distribution of shareholding by country

  • Sweden 59
  • United States 12.8
  • Norway 2.7
  • United Kingdom 2.4
  • Other 2.2
  • Anonymous 16.2

Dividend information

Sandvik's goal is that the dividend shall amount to 50% of the reported earnings per share.

Earnings and dividends per share SEK, 2014–2018

Dividend 2018 ENG.PNG

Information

Symbol:
SAND
Currency:
SEK
Market place:
XSTO
Latest price:
177.3
Closing price:
177.3
Latest change:
13 Aug 2020
All time high:
21 Jan 2020
All time low:
21 Sep 2001
Year high:
194.3
Year low:
112.5
Number of shares:
1,254,385,923

The investment case

Global leader in cutting tools, mining equipment and advanced materials targeting improved productivity and sustainability.

Proven ability to develop new technologies and solutions as we combine our core skills with new digital technologies.

Continuous review of all businesses to achieve the optimal business portfolio.

Significant improvement in profitability and returns since 2016 and committed to achieving improved through-cycle performance.

Target to distribute 50% of adjusted earnings per share through the economic cycle and maximize shareholder value.



Combine core skills with new technologies


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Shareholders rewarded


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Strategic agenda

  • Focus on core and be no. 1 or 2 in chosen markets and segments
  • Technology leadership and innovation
  • Accountability and decisions close to customers
  • Stability and profitability before growth
  • Efficiency and continous improvements
  • Culture of doing things right
  • Exceptional people

This, plus sustainable business will create:

  • Customer value
  • Employee value
  • Shareholder value

Long-term financial targets

Sandvik's financial targets focuses on growth whilst achieving improved performance through economic cycles. A strong financial position and dividend is also a priority.

≥5%

Growth
through the economic cycle, organic and acquisitions

≥16%

Adjusted EBIT % margin trough
rolling 12 months adjusted for items affecting comparability

< 0.5

Net gearing
net debt / equity

50% of EPS

Dividend
through economic cycle adj. for items affecting comparability


Sustainability goals

To make the shift that will drive more sustainable business we have four ambitious sustainability goals for 2030. Our four goals:


More than 90% circularity

We will drive the shift to more circular business models and use of resources.

Halve the CO2 impact

We will deliver on our commitments to reduce impact on the climate.

Zero harm to people

We aspire to the highest standards for people.

Always do the right thing

We will constantly aim higher in ethics and transparency.