What is Stora Enso Oyj Financial Strength?
Stora Enso Oyj has the Financial Strength Rank of 4.
Warning Sign:
Stora Enso Oyj displays poor financial strength. Usually, this is caused by too much debt for the company.
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.
Stora Enso Oyj's Interest Coverage for the quarter that ended in Mar. 2025 was 4.03.
Stora Enso Oyj's debt to revenue ratio for the quarter that ended in Mar. 2025 was 0.61.
As of today, Stora Enso Oyj's Altman Z-Score is 1.35.
Competitive Comparison of Stora Enso Oyj's Financial Strength
For the Paper & Paper Products subindustry, Stora Enso Oyj'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.
Stora Enso Oyj's Financial Strength Distribution in the Forest Products Industry
For the Forest Products industry and Basic Materials sector, Stora Enso Oyj's Financial Strength distribution charts can be found below:
* The bar in red indicates where Stora Enso Oyj's Financial Strength falls into.
Stora Enso Oyj 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:
Stora Enso Oyj's Interest Expense for the
months ended in Mar. 2025 was kr-427 Mil. Its Operating Income for the
months ended in Mar. 2025 was kr1,720 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2025 was kr42,766 Mil.
Stora Enso Oyj's Interest Coverage for the quarter that ended in Mar. 2025 is
The higher the ratio, the stronger the company's financial strength is.
Warning Sign:
Ben Graham prefers companies' interest coverage to be at least 5. Stora Enso Oyjs earnings cannot cover its interest expense. If the situation continues, the company may have to issue more debt.
2. Debt to revenue ratio. The lower, the better.
Stora Enso Oyj's Debt to Revenue Ratio for the quarter that ended in Mar. 2025 is
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.
Stora Enso Oyj has a Z-score of 1.35, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.
Warning Sign:
Altman Z-score of 1.35 is in distress zone. This implies bankruptcy possibility in the next two years.
* 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.
Stora Enso Oyj Business Description
Traded in Other Exchanges
Address
Katajanokanlaituri 4, P.O. Box 309, Helsinki, FIN, FI-00101
Stora Enso Oyj is a renewable materials company. It provides renewable products in packaging, biomaterials, and wooden construction, and private forest owners. Its operating segments are Packaging Materials, Packaging Solutions, Biomaterials, Wood Products, Forest, and others. The Packaging Solutions division develops and sells premium fiber-based packaging products and services. Its high-end eco-friendly packaging products are used by brands across multiple market sectors, including the retail, e-commerce, and industrial sectors. Key revenue is generated from the Packaging Solutions segment.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
OSTO:STE A has been successfully added to your