New Value Analysis of Sulzer AG (SWX:SUN) 2022

Published by Jonathan Taylor at 18th May 2022

New Value Analysis of Sulzer AG (SWX:SUN) 2022

A new value analysis of Sulzer AG (SWX:SUN), a company listed on the Swiss Stock exchange, has been added to our research pages.

Sulzer AG has been in business in various forms for nearly 200 years. In that time Sulzer has developed numerous technologies and spun them out into new companies. Following a recent spin-out of a medical mixing and application business into medmix AG, Sulzer is now focussed on flow technologies. Sulzer now specializes in pumping, agitation, mixing, separation and purification technologies for fluids of all types. Sulzer has 180 manufacturing facilities and service centers across the globe. Sulzer has been headquartered in Winterthur, Switzerland, since 1834.

Why would a value investor consider an investment in Sulzer AG?

The main reason for considering an investment in Sulzer AG is the current low share price, which gives a relatively high yield for the stock and means that Sulzer looks cheap in comparison to earnings.

Analysis of the value in Sulzer AG is complicated by the spin-out of medmix in 2021. The 2021 Annual Report includes financial data for the business after the medmix spin-out and the analysis in the value report focusses on the data for continuing operations as these are the data most relevant to a value investor considering a new investment in Sulzer AG common stock.

The analysis report includes a special commentary about the shareholding structure of Sulzer and the possible implications of recent sanctions.

The price action of the stock can be seen in the chart below.