Sika AG (SIKA.SW) stock analysis

In our weekly check, Sika AG is graded B (A to F). Of 25 checks on debt, profit, cash flow and trend: 16 pass, warnings: 7, red flags: 2.

About Sika AG

Sika AG is a Basic Materials company (Chemicals - Specialty) based in Switzerland, listed on SIX as SIKA.SW.

What our checks show for SIKA.SW

Red flags

• The stock has fallen as much as 74% from a peak. Would you have held through that?
• Recovering from its deepest fall took about 4.3 years.

Warning signs

• The net margin fell by 2 points over 5 years, to 9.3%: the company keeps less of each sale as profit.
• Analysts expect only about 4.8% a year of growth in revenue.
• Revenue grew only 2.2% a year over the last 3 years.
• Earnings per share fell 4.9% a year over the last 3 years.
• Net profit fell 3.5% a year over the last 3 years.
• The net margin is only 9.3%: little room if costs rise.
• Thinly traded (about 384 thousand shares a day): buying and selling can move the price.

Strengths

• Operating profit covers interest 11.7 times over.
• The gross margin is 54.9% and has risen by 24.8 points: pricing power is holding.
• Operating cash flow is 1.52x net profit: the profit arrives as real cash.
• Analysts expect earnings per share to grow about 12.8% a year over the next years.
• Analysts expect the net margin to improve by 2.2 points from today's 9.3%.
• Free cash flow is 11.1% of revenue: cash for dividends, buybacks or growth.

Similar companies

DSFIR.AS · PPG · IFF · GIVN.SW · LYB · EMSN.SW

Questions

What grade does Sika AG (SIKA.SW) have?

In our weekly check, Sika AG is graded B (A to F). Of 25 checks on debt, profit, cash flow and trend: 16 pass, warnings: 7, red flags: 2. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of SIKA.SW stock?

This week's biggest flags for Sika AG: Deep past fall, Slow recovery after falls, Margins falling. In total 9 of 25 checks show a warning or a red flag.

What does Sika AG do?

Sika AG is a Basic Materials company (Chemicals - Specialty) based in Switzerland, listed on SIX as SIKA.SW.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-10-24

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