How ASSA ABLOY's latest earnings set the stage for investors
ASSA ABLOY (OM:ASSA B) just posted third quarter 2026 results, giving you fresh numbers to weigh against the recent share price performance and the group's longer term track record.
The update covers both the three month period to September 30 and the first nine months of 2026, so you get a reasonably full picture of sales, profit and earnings per share trends.
Recent trading has turned more upbeat, with a 1-day share price return of 2.25% and a 7-day move of 7.62%, while the year-to-date share price return of 7.47% sits against a 3-year total shareholder return of 69.53%, suggesting that short-term momentum is rebuilding on top of a strong longer-term record.
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After a fresh all time high quarter and a brisk 1 week rebound in ASSA ABLOY's share price, the question now is whether current levels still leave enough upside to compensate for the risks.
Most Popular Narrative: 7% Undervalued
On the most followed view, ASSA ABLOY's fair value sits at about SEK408.76 compared with the latest close at SEK381.30. This points to a modest valuation gap that rests on mix and margin rather than rapid top line expansion.
The main thing that has to go right is that ASSA ABLOY continues to convert its mix shift toward higher tech, recurring revenue and acquired businesses into sustainably strong margins despite FX headwinds and ongoing weakness in residential and logistics linked markets.
The current valuation implies that the market is not fully reflecting ASSA ABLOY's record EBIT margins, solid operating leverage and continued deployment into acquisitions. This narrative interprets that combination as the stock being undervalued and the setup as bullish.
See why 27 investors see ASSA ABLOY as 7% undervalued .
Result: Fair Value of SEK408.76 (UNDERVALUED)
Still, the bullish ASSA ABLOY story can crack if residential weakness drags on, or if currency pressure and slower high tech uptake squeeze those record margins.
Find out about the key risks to this ASSA ABLOY narrative .
Next Steps
Seeing both optimism and concern around ASSA ABLOY's setup, it makes sense to move fast and stress test the thesis for yourself with 3 key rewards and 1 important warning sign .
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include ASSA-B.ST .
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