Neobo Fastigheter just released its Q3 2026 scorecard and the share closed yesterday at SEK16.93, after a weak few months that left the 30 day return down about 10%. The headline is simple. Property management earnings per share returned to solid profit territory and basic EPS was SEK0.36 for the quarter, while net income was SEK50m.
That level of earnings recovery sits alongside a stock that currently trades on a P/E of 36.5x and at a price above an internal value estimate of SEK12.92. Investor sentiment appears optimistic, while the numerical picture highlights balance sheet and valuation pressure that now frame the situation for Neobo Fastigheter.
Love the earnings rebound at Neobo Fastigheter but concerned about paying up at a 36.5x P/E with valuation pressure in the background? Put this quarter in context by comparing it to our screener of 190 high quality undervalued stocks.
Q3 2026 Earnings Summary
- Revenue (Q3 2026 vs Q3 2025): SEK235m vs SEK236m (broadly stable quarter on quarter a year apart)
- Net Income (Q3 2026 vs Q3 2025): SEK50m vs SEK62m (profit lower year on year)
- Basic EPS (Q3 2026 vs Q3 2025): SEK0.36 vs SEK0.43 (earnings per share softer than the prior period)
- Net Profit Margin (TTM to Q3 2026 vs prior TTM): 6.9% vs 8.5% (profitability on trailing results weaker than a year earlier)
Earnings are one thing, but if you care about what you are really paying for Neobo Fastigheter, then cash flows do a better job of grounding the valuation story. Looking at Neobo Fastigheter's cash flows alone, the stock could be a striking 31% overvalued.
Neobo Fastigheter: Earnings Support a Cautious Bullish Story
Neobo Fastigheter looks more resilient than the recent share price suggests. Like-for-like rental income rose 3%, residential rents increased 3.4% and residential vacancy hit a record low 4.4%. Property management earnings per share climbed about 22% year on year despite property divestments and higher weather-driven costs earlier in the year. A portfolio value of SEK13.6b and a 50% loan-to-value ratio with 83% of debt hedged indicate a funding profile that fits a steady Swedish residential landlord rather than a high-risk property trader.
Bearish Concerns: Balance Sheet And Earnings Friction Remain
The bear story is not just sentiment. Net operating income slipped to SEK386m and profit from property management fell to SEK156m as Neobo Fastigheter sold assets and faced higher property costs. The Skaraborg sale agreed at a 16% discount to book value flags pressure on valuations in some areas. Interest coverage of 1.8x and a SEK27m hit from interest rate swaps underline that financing remains a live swing factor even with recent refinancing and ongoing disposals releasing about SEK300m of liquidity.
After a Skaraborg disposal at a 16% discount to book and interest cover at 1.8x, it is fair to ask whether Neobo Fastigheter is dealing with short term friction or deeper structural strain. Review the full risk analysis for Neobo Fastigheter which shows 3 important warning signsHunt For Mispriced Earnings Power
Neobo Fastigheter highlights how a cleaner earnings picture can still leave valuation questions unresolved. The real opportunity is spotting stocks that could be undervalued before the market closes that gap.
- Company 1 - 38% below our estimate - expands surgical robotics and implant platforms hospitals adopt to upgrade orthopedic and sports medicine procedures.
- Company 2 - 28% below our estimate - embeds custom silicon and networking chips into critical data routes large enterprises use to move and secure information.
- Company 3 - 36% below our estimate - wins multi year defense frameworks that convert simple headsets into integrated hearing protection and tactical communication systems.
That is three of the list. See all 190 potentially undervalued companies →
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