# Stora Enso Oyj R (STERV.HE)

Canonical: https://gigainvestors.com/s/STERV.HE

Analysis as of: 2026-10-16T07:36:09.871Z. Financial observations: FY1999–FY2025.

Listing currency: EUR. Reporting currency: EUR.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: fail; earnings resilience is evidence only). Published buy qualification: no.

Share price: EUR 9.97 per share; close as of 2026-10-15.

Estimated value: low EUR 8.91 per share, central EUR 9.90 per share, high EUR 11.21 per share. Buy at or below the central value EUR 9.90 per share. Valuation as of 2026-10-16T07:36:09.871Z; scenarios are not confidence intervals.

Expected annual return: 9.9% at the stated quote. About 9.9% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; FI 10-year bond 3.8% + 4 points).

## Checklist

### understandable: fail

- 5 revenue declines in the last 10 years (informational)

- operating margin variation exceeds 0.35

- Financial history: 10 years

- Years with declining revenue: 5

- Years with a net loss: 2

- Operating margin variation: 0.64×

Chart: Operating margin; fiscal year observations.

- FY2016: 0.08×

- FY2017: 0.09×

- FY2018: 0.13×

- FY2019: 0.13×

- FY2020: 0.11×

- FY2021: 0.15×

- FY2022: 0.17×

- FY2023: -0.03×

- FY2024: 0.01×

- FY2025: 0.10×

### moat: fail

- ROIC median below threshold

- ROIC worst years below threshold (more than 1 bad year allowed)

- Recent gross margin fell 12.1pp below the typical margin (limit 4pp)

- ROIC, median of available years: 8.1%

- ROIC, second-lowest year: 0.5%

- Typical minus recent gross margin: 12.1 pp

- Typical gross margin (annual median): 41.1%

- Recent gross margin (lower of latest and 3-year median): 29.0%

- Years with nonpositive capital: 0

- Capital spending / revenue: 7.1%

- ROIC including acquisitions, ten-year median: 5.6%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 7.1%

- FY2017: 9.2%

- FY2018: 13.2%

- FY2019: 9.4%

- FY2020: 6.3%

- FY2021: 11.0%

- FY2022: 11.6%

- FY2023: -2.0%

- FY2024: 0.5%

- FY2025: 6.0%

### economics: fail

- owner earnings cash conversion below threshold

- incremental invested capital return below threshold

- Owner earnings / net income, 5-yr: 0.59×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: EUR 1.8B

- Net income, five-year total: EUR 3.0B

- Return on incremental invested capital: -13.5%

- Working capital / revenue, annual change: -0.7 pp

- Working capital / revenue, change between three-year averages: -5.4 pp

- Working capital / revenue, final three-year average: 8.3%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 1.00×

- FY2022: 1.00×

- FY2023: 2.28×

- FY2024: 5.50×

- FY2025: 0.74×

### management: fail

- Historical market-dollar context (not the management verdict): 2016 to 2025 (9 years)

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 9.2% vs 0.5%

- Per-share earnings: 0.79 to -0.17 (three-year endpoint medians)

- per-share value declined or ends nonpositive

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: -0.0%

- Ordinary dilution, 5-year annual growth: -0.0%

- Market cap gain: EUR 350M

- Cumulative retained earnings: EUR 3.7B

- Diluted shares, 10-year annual growth: -0.0%

- Diluted shares, 5-year annual growth: -0.0%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value change: EUR -0.96

- Per-share value, starting three-year median: EUR 0.79

- Per-share value, ending three-year median: EUR -0.17

- Buybacks concentrated in cheaper years (correlation): -0.47

- Average buyback yield: 0.0%

- Buyback history: 10 years

- Debt-funded buybacks: No

- Acquisition spending: EUR 601M

- Cumulative net income, 10 years: EUR 6.6B

- ROIC, first three-year median: 9.2%

- ROIC, last three-year median: 0.5%

Chart: Earnings per share; fiscal year observations.

- FY2016: EUR 0.58

- FY2017: EUR 0.79

- FY2018: EUR 1.28

- FY2019: EUR 1.11

- FY2020: EUR 0.79

- FY2021: EUR 1.61

- FY2022: EUR 1.96

- FY2023: EUR -0.45

- FY2024: EUR -0.17

- FY2025: EUR 0.88

### accounting: pass

- Sloan accruals: 0.3%

- Receivables to sales index (DSRI): 0.95×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 0.0%

- Earnings backed by cash: Yes

- Operating cash / earnings: 0.93×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.04×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -7.3%

- FY2017: -4.9%

- FY2018: -0.6%

- FY2019: -5.1%

- FY2020: -2.9%

- FY2021: -1.1%

- FY2022: -0.2%

- FY2023: -5.3%

- FY2024: -5.5%

- FY2025: 0.3%

## Holders

## Price story

Down 47% since Apr 2022 · "Stora Enso Q3 adjusted operating profit falls as Oulu ramp-up impacts" (finance.yahoo.com, Oct 2025) · sales +3.1%

Story as of 2026-10-16T10:00:06.981Z; price observation 2026-10-15.

Price needs cash profits to grow 1% a year for ten years

- 2025-10-24: Stora Enso Q3 adjusted operating profit falls as Oulu ramp-up impacts ([finance.yahoo.com](https://finance.yahoo.com/news/stora-enso-q3-adjusted-operating-111220045.html))

### Sales · FY2024–2025

sales +3.1%; source https://filings.xbrl.org/7437000ZP669LKUTZ738/2025-12-31/ESEF/FI/0/7437000ZP669LKUTZ738-2025-12-31-fi/reports/7437000ZP669LKUTZ738-2025-12-31-fi.xhtml; observed 2026-02-17.

- FY2016: EUR 9.8B 

- FY2017: EUR 10B 

- FY2018: EUR 10B 

- FY2019: EUR 10B 

- FY2020: EUR 8.6B 

- FY2021: EUR 10B 

- FY2022: EUR 12B 

- FY2023: EUR 9.4B 

- FY2024: EUR 9.0B 

- FY2025: EUR 9.3B 

### Gross margin · FY2025

gross margin 29%; source https://filings.xbrl.org/7437000ZP669LKUTZ738/2025-12-31/ESEF/FI/0/7437000ZP669LKUTZ738-2025-12-31-fi/reports/7437000ZP669LKUTZ738-2025-12-31-fi.xhtml; observed 2026-02-17.

- FY2016: 37.9% 

- FY2017: 40.4% 

- FY2018: 41.8% 

- FY2019: 44.1% 

- FY2020: 45.1% 

- FY2021: 46.0% 

- FY2022: 44.1% 

- FY2023: 32.5% 

- FY2024: 39.5% 

- FY2025: 29.0% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in packaging & containers; annual sales are EUR 9.3 billion.

- Source: https://filings.xbrl.org/7437000ZP669LKUTZ738/2025-12-31/ESEF/FI/0/7437000ZP669LKUTZ738-2025-12-31-fi/reports/7437000ZP669LKUTZ738-2025-12-31-fi.xhtml (filed 2026-02-17); FY2025: revenue 9326000000; grossProfit 2707000000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); STERV.HE: Stora Enso Oyj provides renewable solutions for the packaging, biomaterials, wooden constructions, and paper industries in Finland and internationally. It operates through Packaging Materials, Packaging Solutions, Biomaterials, Wood Products, Forest, and Other segments. The company's Packaging Materials segment offers virgin and recycled fiber replace fossil-based materials, renewable and recyclable packaging materials for food and beverage, and transport packaging. Its Packaging Solutions segment develops and sells fiber-based packaging products and services, including converting carton and corrugated boards for packaging solutions for retail, e-commerce, and industrials. The company's Biomaterials segment provides various pulp for packaging, paper, tissue, specialties, and hygiene products; and tall oil and turpentine from biomass. Its Wood Products segment offers wood-based solutions, including digital tools for design and construction of building projects with wood; applications for windows and doors; and pellets for sustainable heating solutions. The company's Forest segment engages in sustainable forest management, as well as supplies wood. The company's Other segment produces electricity and heat. It serves packaging manufacturers, brand owners, retailers, converters, and construction companies. The company was incorporated in 1996 and is headquartered in Helsinki, Finland.

### Why customers stay

Margins ranged from 29% to 39.5% during 2023–25; it earns 8.1% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); FY2023: grossProfit / revenue = 32.5%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); FY2024: grossProfit / revenue = 39.5%.

- Source: https://filings.xbrl.org/7437000ZP669LKUTZ738/2025-12-31/ESEF/FI/0/7437000ZP669LKUTZ738-2025-12-31-fi/reports/7437000ZP669LKUTZ738-2025-12-31-fi.xhtml (filed 2026-02-17); FY2025: grossProfit / revenue = 29%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); 10-year return on capital observations [[2016,0.07069840971228224],[2017,0.09185337774506326],[2018,0.13186211315484547],[2019,0.09427888024966838],[2020,0.0633657777081726],[2021,0.10973875845356874],[2022,0.11620703897819944],[2023,-0.019672105792282114],[2024,0.005368651808549507],[2025,0.059739607817034905]]; median 0.08127589372867275. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Spends 40.2% of cash earnings on expansion; paid dividends in 10 of 10 years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); FY2016: growth capex 0; upkeep 798000000; owner earnings 169000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); FY2017: growth capex 125812545.22061813; upkeep 532187454.7793819; owner earnings 585812545.2206181. Growth capex / owner earnings = 0.21476587732213362.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); FY2018: growth capex 46000000; upkeep 479000000; owner earnings 1013000000. Growth capex / owner earnings = 0.045409674234945706.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); FY2019: growth capex 0; upkeep 587000000; owner earnings 839000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); FY2020: growth capex 0; upkeep 661000000; owner earnings 524000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); FY2021: growth capex 95000000; upkeep 549000000; owner earnings 1266000000. Growth capex / owner earnings = 0.0750394944707741.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); FY2022: growth capex 170000000; upkeep 534000000; owner earnings 1550000000. Growth capex / owner earnings = 0.10967741935483871.

- Source: https://filings.xbrl.org/7437000ZP669LKUTZ738/2025-12-31/ESEF/FI/0/7437000ZP669LKUTZ738-2025-12-31-fi/reports/7437000ZP669LKUTZ738-2025-12-31-fi.xhtml (filed 2026-02-17); FY2025: growth capex 208235867.4289341; upkeep 566764132.5710659; owner earnings 517635867.4289341. Growth capex / owner earnings = 0.4022825320494675.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); Dividend observations: [[2016,260000000],[2017,292000000],[2018,323000000],[2019,394000000],[2020,223000000],[2021,237000000],[2022,434000000],[2023,472000000],[2024,146000000],[2025,209000000]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://filings.xbrl.org/7437000ZP669LKUTZ738/2025-12-31/ESEF/FI/0/7437000ZP669LKUTZ738-2025-12-31-fi/reports/7437000ZP669LKUTZ738-2025-12-31-fi.xhtml (filed 2026-02-17); FY2025: cash repurchases 2000000 EUR.

### Are managers owners

Insiders own 4.1% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); STERV.HE SharesStats.PercentInsiders = 4.058 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits grow 1% yearly over ten years; actual decline was 1.6%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-17); Ten-year compound average after fade. Initial solved rate 0.0015660684501018762. Price 9.968; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2015 owner earnings/share 0.7738476790493218 → FY2025 0.6554841932745779. Closing-price date 2026-10-15.

## Monthly share-price history (EUR per share)

- 2016-10: EUR 8.62 per share

- 2016-11: EUR 9.11 per share

- 2016-12: EUR 10.21 per share

- 2017-01: EUR 10.52 per share

- 2017-02: EUR 10.14 per share

- 2017-03: EUR 11.08 per share

- 2017-04: EUR 10.92 per share

- 2017-05: EUR 11.26 per share

- 2017-06: EUR 11.31 per share

- 2017-07: EUR 11.30 per share

- 2017-08: EUR 11.04 per share

- 2017-09: EUR 11.95 per share

- 2017-10: EUR 13.43 per share

- 2017-11: EUR 12.86 per share

- 2017-12: EUR 13.22 per share

- 2018-01: EUR 13.82 per share

- 2018-02: EUR 14.58 per share

- 2018-03: EUR 14.93 per share

- 2018-04: EUR 16.44 per share

- 2018-05: EUR 17.51 per share

- 2018-06: EUR 16.76 per share

- 2018-07: EUR 14.14 per share

- 2018-08: EUR 16.04 per share

- 2018-09: EUR 16.48 per share

- 2018-10: EUR 13.31 per share

- 2018-11: EUR 11.26 per share

- 2018-12: EUR 10.09 per share

- 2019-01: EUR 11.70 per share

- 2019-02: EUR 11.79 per share

- 2019-03: EUR 10.90 per share

- 2019-04: EUR 11.07 per share

- 2019-05: EUR 9.46 per share

- 2019-06: EUR 10.34 per share

- 2019-07: EUR 10.44 per share

- 2019-08: EUR 10.17 per share

- 2019-09: EUR 11.06 per share

- 2019-10: EUR 11.63 per share

- 2019-11: EUR 12.20 per share

- 2019-12: EUR 12.97 per share

- 2020-01: EUR 11.76 per share

- 2020-02: EUR 10.71 per share

- 2020-03: EUR 9.25 per share

- 2020-04: EUR 10.80 per share

- 2020-05: EUR 11.03 per share

- 2020-06: EUR 10.63 per share

- 2020-07: EUR 10.66 per share

- 2020-08: EUR 12.33 per share

- 2020-09: EUR 13.38 per share

- 2020-10: EUR 12.53 per share

- 2020-11: EUR 14.17 per share

- 2020-12: EUR 15.65 per share

- 2021-01: EUR 15.00 per share

- 2021-02: EUR 16.33 per share

- 2021-03: EUR 15.91 per share

- 2021-04: EUR 15.93 per share

- 2021-05: EUR 14.32 per share

- 2021-06: EUR 15.39 per share

- 2021-07: EUR 16.69 per share

- 2021-08: EUR 16.58 per share

- 2021-09: EUR 14.47 per share

- 2021-10: EUR 14.38 per share

- 2021-11: EUR 14.98 per share

- 2021-12: EUR 16.14 per share

- 2022-01: EUR 17.92 per share

- 2022-02: EUR 17.17 per share

- 2022-03: EUR 17.82 per share

- 2022-04: EUR 18.90 per share

- 2022-05: EUR 18.02 per share

- 2022-06: EUR 14.97 per share

- 2022-07: EUR 15.06 per share

- 2022-08: EUR 14.88 per share

- 2022-09: EUR 13.09 per share

- 2022-10: EUR 13.19 per share

- 2022-11: EUR 13.98 per share

- 2022-12: EUR 13.15 per share

- 2023-01: EUR 13.10 per share

- 2023-02: EUR 13.40 per share

- 2023-03: EUR 11.98 per share

- 2023-04: EUR 11.50 per share

- 2023-05: EUR 11.85 per share

- 2023-06: EUR 10.63 per share

- 2023-07: EUR 11.16 per share

- 2023-08: EUR 11.76 per share

- 2023-09: EUR 11.89 per share

- 2023-10: EUR 11.33 per share

- 2023-11: EUR 11.91 per share

- 2023-12: EUR 12.53 per share

- 2024-01: EUR 11.82 per share

- 2024-02: EUR 11.68 per share

- 2024-03: EUR 12.89 per share

- 2024-04: EUR 12.55 per share

- 2024-05: EUR 13.41 per share

- 2024-06: EUR 12.76 per share

- 2024-07: EUR 11.54 per share

- 2024-08: EUR 11.70 per share

- 2024-09: EUR 11.50 per share

- 2024-10: EUR 10.22 per share

- 2024-11: EUR 9.19 per share

- 2024-12: EUR 9.72 per share

- 2025-01: EUR 10.70 per share

- 2025-02: EUR 10.37 per share

- 2025-03: EUR 8.71 per share

- 2025-04: EUR 8.17 per share

- 2025-05: EUR 8.91 per share

- 2025-06: EUR 9.22 per share

- 2025-07: EUR 9.03 per share

- 2025-08: EUR 9.98 per share

- 2025-09: EUR 9.34 per share

- 2025-10: EUR 10.10 per share

- 2025-11: EUR 10.13 per share

- 2025-12: EUR 10.71 per share

- 2026-01: EUR 9.74 per share

- 2026-02: EUR 11.51 per share

- 2026-03: EUR 10.07 per share

- 2026-04: EUR 9.46 per share

- 2026-05: EUR 10.05 per share

- 2026-06: EUR 9.33 per share

- 2026-07: EUR 9.94 per share

- 2026-08: EUR 10.13 per share

- 2026-09: EUR 10.17 per share

- 2026-10: EUR 10.07 per share

## Annual estimated value (EUR per share)

- FY2016: low EUR 6.59 per share, central EUR 7.36 per share, high EUR 8.40 per share

- FY2017: low EUR 8.61 per share, central EUR 9.73 per share, high EUR 11.22 per share

- FY2018: low EUR 9.62 per share, central EUR 10.79 per share, high EUR 12.34 per share

- FY2019: low EUR 9.37 per share, central EUR 10.54 per share, high EUR 12.10 per share

- FY2020: low EUR 9.14 per share, central EUR 10.14 per share, high EUR 11.47 per share

- FY2021: low EUR 13.44 per share, central EUR 15.06 per share, high EUR 17.22 per share

- FY2022: low EUR 17.75 per share, central EUR 19.91 per share, high EUR 22.77 per share

- FY2023: low EUR 13.75 per share, central EUR 15.25 per share, high EUR 17.25 per share

- FY2024: low EUR 10.00 per share, central EUR 11.06 per share, high EUR 12.47 per share

- FY2025: low EUR 8.55 per share, central EUR 9.54 per share, high EUR 10.85 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

Prior published observations retained from 2026-10-15T06:41:52.152Z where newer inputs omit a numeric field or fiscal period.

## Sources

[Original ESEF filing](https://filings.xbrl.org/7437000ZP669LKUTZ738/2025-12-31/ESEF/FI/0/7437000ZP669LKUTZ738-2025-12-31-fi/reports/7437000ZP669LKUTZ738-2025-12-31-fi.xhtml); period 2025-12-31, filed 2026-02-17.

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.

## Reported holder observations