Skanska ABMIL:1SKAB 79 ROE % is 7.84% as of Mar. 2026, which is 52% below its 10-year median of 16.29. GuruFocus rates MIL:1SKAB with a GF Score™ of 79/100 and a GF Value™ of €20.01. The stock has 10 warning signs investors should review. Among 1,737 Construction companies, Skanska AB ranks better than 60.74% on this metric.
ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Skanska AB's annualized net income for the quarter that ended in Mar. 2026 was €434 Mil. Skanska AB's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was €5,543 Mil. Therefore, Skanska AB's annualized ROE % for the quarter that ended in Mar. 2026 was 7.84%.
The historical rank and industry rank for Skanska AB's ROE % or its related term are showing as below:
MIL:1SKAB'
s ROE % Range Over the Past 10 Years
Min: 8.98 Med: 16.29 Max: 27.61
Current: 9.54
During the past 13 years, Skanska AB's highest ROE % was 27.61%. The lowest was 8.98%. And the median was 16.29%.
MIL:1SKAB's ROE % is ranked better than 60.74% of 1737
companies
in the Construction industry
Industry Median: 6.72
vs MIL:1SKAB: 9.54
Skanska AB (MIL:1SKAB) ROE % Explanation
ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.
The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:
Note:
The net income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.
* 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.
Be Aware
Net Income is used.
Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.
Skanska AB ROE % Related Terms
Skanska AB ROE % Historical Data
* Premium members only.
The historical data trend for Skanska AB's ROE % can be seen below:
* 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.
For the Engineering & Construction subindustry, Skanska AB's ROE %, along with its competitors' market caps and ROE % 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.
Skanska AB ROE % vs Construction Industry
For the Construction industry and Industrials sector, Skanska AB's ROE % distribution charts can be found below:
* The bar in red indicates where Skanska AB's ROE % falls into.
* 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.
In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is four times the quarterly (Mar. 2026) net income data.
ROE % is displayed in the 30-year financial page.
Skanska AB (MIL:1SKAB) has a ROE % of 7.84% as of Mar. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Skanska AB and its competitors. This is 52% below median its historical median of 16.29. Over the past decade, Skanska AB's ROE % has ranged from 8.98 to 27.61. According to the industry distribution chart, Skanska AB ranks #682 out of 1737 companies in the Construction industry, placing it in the top 39.3%.
Is Skanska AB's ROE % too high?
Skanska AB's current ROE % of 7.84% is 52% below median its 10-year median of 16.29. Over the past 10 years, this metric has ranged from a low of 8.98 to a high of 27.61. The Construction industry median ROE % is 6.72. Skanska AB's value of 7.84% is 16.7% above this industry median. Based on the distribution chart, Skanska AB ranks #682 out of 1737 companies in the Construction industry, which is above the industry midpoint. Overall, Skanska AB has a GF Score™ of 79/100, reflecting its overall financial health beyond just this single metric.
How does Skanska AB's ROE % compare to PWR and FIX?
According to the Construction industry distribution chart, Skanska AB ranks #682 out of 1737 companies for ROE %. This puts Skanska AB in the upper half of its industry. The industry median ROE % is 6.72. Skanska AB's value of 7.84% is 16.7% above this benchmark. Historically, Skanska AB's own ROE % has ranged from 8.98 to 27.61 over the past decade. While the company's 10-year median is 16.29 vs. the industry median of 6.72, Skanska AB has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for a Construction company?
The median ROE % among Construction companies is 6.72, based on 1,737 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Skanska AB's current ROE % of 7.84% is 16.7% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Skanska AB and its competitors. For the Construction industry, the median ROE % is 6.72 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Skanska AB's current ROE % is 7.84%, which is 52% below median its own 10-year median of 16.29. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Skanska AB stock overvalued right now?
Skanska AB (MIL:1SKAB) has a current ROE % of 7.84%. The stock's GF Value™ is €20.01, compared to a current price of €23.89 — trading 19.4% above its estimated fair value. The current ROE % is 7.84%, which is 52% below median its 10-year median of 16.29 and 16.7% above the Construction industry median of 6.72. Skanska AB's overall GF Score™ is 79/100 with 10 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For Skanska AB (MIL:1SKAB), the current ROE % is 7.84% as of Mar. 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 Skanska AB (MIL:1SKAB) Overvalued in 2026?
Based on GuruFocus' analysis, Skanska AB stock appears to be overvalued.
The current stock price of €23.89 is trading 19.4% above its estimated GF Value™ of €20.01.
Key valuation signals for MIL:1SKAB:
ROE %: 7.84% (52% below median its 10-year median of 16.29)
GF Value™: €20.01 vs. price of €23.89 (19.4% above fair value)
Industry Position: 16.7% above the Construction median (#682 of 1737)
No single metric tells the full story. See the MIL:1SKAB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Skanska AB is one of the world's construction and project development companies. It develops properties and structures in the Nordic region, North America, and elsewhere. The company uses its skills and expertise to develop highways, bridges, mass transit, houses, and logistic centers. Skanska operates in business segments: Construction, that derives majority of total revenue, Residential development, Investment Properties, and Commercial property development. Geographically, the company derives majority of revenue from Sweden, it also has its presence in UK, USA, Norway, and Others.
79GF Score
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