Alfa Laval AB (CHIX:ALFAS) Financial Strength: 7 (As of Jun. 2026) — Near Median

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Director of Data and Quant Analytics at GuruFocus
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Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

CHIX:ALFAS Alfa Laval AB CHIX:ALFAS
91 GF Score
Price kr569.00
GF Value kr482.84
Valuation Modestly Overvalued
! 6 Warning Signs
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What is Alfa Laval AB Financial Strength?

Alfa Laval AB CHIX:ALFAS -0.87% 91 Financial Strength is 7 as of Jun. 2026, which is at its 10-year median of 7.00. GuruFocus rates CHIX:ALFAS with a GF Score™ of 91/100 and a GF Value™ of kr482.84 (Modestly Overvalued). The stock has 6 warning signs investors should review.

Alfa Laval AB has the Financial Strength Rank of 7.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is rated on a scale of 1 to 10 and is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.
4. Other debt related ratios.

A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

Alfa Laval AB's Interest Coverage for the quarter that ended in Jun. 2026 was 19.40. Alfa Laval AB's debt to revenue ratio for the quarter that ended in Jun. 2026 was 0.29. As of today, Alfa Laval AB's Altman Z-Score is 3.52.


Alfa Laval AB  (CHIX:ALFAs) Financial Strength Explanation

The rank is rated on a scale of 1 to 10. A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

Alfa Laval AB has the Financial Strength Rank of 7.


Alfa Laval AB Financial Strength Related Terms


CHIX:ALFAS vs GEV, ETN, PH: Financial Strength Comparison

For the Specialty Industrial Machinery subindustry, Alfa Laval AB's Financial Strength, along with its competitors' market caps and Financial Strength data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Alfa Laval AB Financial Strength vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Alfa Laval AB's Financial Strength distribution charts can be found below:

* The bar in red indicates where Alfa Laval AB's Financial Strength falls into.


CHIX:ALFAS
91GF Score
Alfa Laval AB CHIX:ALFAS
Financial Strength is just one metric. See GF Score™, valuation, warning signs, and more.
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Alfa Laval AB Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

Alfa Laval AB's Interest Expense for the months ended in Jun. 2026 was kr-151 Mil. Its Operating Income for the months ended in Jun. 2026 was kr2,929 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2026 was kr11,833 Mil.

Alfa Laval AB's Interest Coverage for the quarter that ended in Jun. 2026 is

Interest Coverage=-1*Operating Income (Q: Jun. 2026 )/Interest Expense (Q: Jun. 2026 )
=-1*2929/-151
=19.40

The higher the ratio, the stronger the company's financial strength is.

2. Debt to revenue ratio. The lower, the better.

Alfa Laval AB's Debt to Revenue Ratio for the quarter that ended in Jun. 2026 is

Debt to Revenue Ratio=Total Debt (Q: Jun. 2026 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(9158 + 11833) / 72468
=0.29

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

Alfa Laval AB has a Z-score of 3.52, indicating it is in Safe Zones. This implies the Z-Score is strong.

Good Sign:

Altman Z-score of 3.52 is strong.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Financial Strength →
What does a Financial Strength of 7 mean?
Alfa Laval AB (CHIX:ALFAS) has a Financial Strength of 7 as of Jun. 2026. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on Alfa Laval AB and its competitors. This is near median its historical median of 7.00. Over the past decade, Alfa Laval AB's Financial Strength has ranged from 5.00 to 8.00.
Is Alfa Laval AB's Financial Strength too high?
Alfa Laval AB's current Financial Strength of 7 is near median its 10-year median of 7.00. Over the past 10 years, this metric has ranged from a low of 5.00 to a high of 8.00. Overall, Alfa Laval AB has a GF Score™ of 91/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Alfa Laval AB's Financial Strength compare to GEV and ETN?
Alfa Laval AB's Financial Strength of 7 can be compared against companies in the Industrial Products industry. Historically, Alfa Laval AB's own Financial Strength has ranged from 5.00 to 8.00 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Financial Strength for an Industrial Products company?
A good Financial Strength depends on the Industrial Products industry context. However, Financial Strength should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Financial Strength mean?
A high Financial Strength can signal that a stock is expensive relative to its fundamentals. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on Alfa Laval AB and its competitors. Alfa Laval AB's current Financial Strength is 7, which is near median its own 10-year median of 7.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Alfa Laval AB stock overvalued right now?
Based on GuruFocus' analysis, Alfa Laval AB (CHIX:ALFAS) is currently considered Modestly Overvalued. The stock's GF Value™ is kr482.84, compared to a current price of kr569.00 — trading 17.8% above its estimated fair value. The current Financial Strength is 7, which is near median its 10-year median of 7.00. Alfa Laval AB's overall GF Score™ is 91/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Financial Strength calculated?
Financial Strength is calculated from a company's financial statements. For Alfa Laval AB (CHIX:ALFAS), the current Financial Strength is 7 as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Alfa Laval AB (CHIX:ALFAS) Overvalued in 2026?

Based on GuruFocus' analysis, Alfa Laval AB stock appears to be overvalued. The current stock price of kr569.00 is trading 17.8% above its estimated GF Value™ of kr482.84. GuruFocus considers Alfa Laval AB to be Modestly Overvalued.

Key valuation signals for CHIX:ALFAS:

  • Financial Strength: 7 (near median its 10-year median of 7.00)
  • GF Value™: kr482.84 vs. price of kr569.00 (17.8% above fair value)
  • GF Score™: 91/100 with 6 warning signs

No single metric tells the full story. See the CHIX:ALFAS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Alfa Laval AB Business Description

Address Rudeboksvagen 1, P.O. Box 73, Lund, SWE, SE-221 00
Alfa Laval is a leading manufacturer of highly engineered equipment, primarily in the areas of separation, heat transfer, and fluid handling, used by a diverse range of customers spanning the food, water, energy, and marine industries. These products play a key role in a number of industrial processes, and Alfa Laval enjoys a leading position in all three areas. Alfa Laval's history stretches back 140 years to when its first separator was developed. The company is listed on the Stockholm stock exchange.
91GF Score

Get the complete analysis for CHIX:ALFAS

Financial Strength is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

kr569.00
Price
kr482.84
GF Value