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ABB Ltd (ABBN) Fair Value & Analysis

Industrials · CH · Market cap CHF 152B

AL ABB Ltd ABBN · SW
PriceCHF 82.32
Fair ValueCHF 35.46
Upside-56.9%
Quality76/100
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Healthy Growth
Solidly profitable · 14.3% net margin
Low debt · generates free cash flow
1.42% dividend yield
Mixed vs. peers (7/15)
Wide moat 72/100
Evidence: High Range CHF 24.77 – CHF 53.88 Share as image

Fair value as of: Jul 14, 2026

From 24 valuation models · updated 24 days ago

Fair value updated Jul 14, 2026, revised from CHF 35.50 to CHF 35.46 (−0.1%) since Jun 24, 2026. Share price −1.2% over the past month.

A strong business, but screening 57% overvalued on our models.

What matters now

  • A high-quality business (quality 76/100), yet the market already pays well above fair value. Quality at a full price, with little margin of safety.
  • The price sits above even our optimistic bull case (CHF 53.88). The favourable scenario is already priced in.
  • A fairly wide model range (CHF 24.77 to CHF 53.88) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

CHF 88.56 CHF 21.07 Fair Value CHF 35.46 May 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 14, 2026.

How to read this chart

60‑month range CHF 21.07 – CHF 88.56 · fair‑value band CHF 24.77 – CHF 53.88 · the CHF 82.32 price screens above the CHF 35.46 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 14, 2026.

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Analysis

ABB Ltd (ABBN) currently trades at CHF 82.32, while our model-based Fair Value estimate is CHF 35.46, implying the stock looks roughly 56.9% overvalued today. We read business quality at 76/100 (high quality), in the Industrials sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, ABB Ltd generated revenue of CHF 34.6B at a net margin of 14.3%. Revenue grew 18.3% year over year. It earns a return on equity of 33.6%. Net debt stands at CHF 4.5B. Fundamentals as of Jul 14, 2026

Our scenario range runs from CHF 24.77 (bear case) to CHF 53.88 (bull case); at CHF 82.32, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 4% below its 52-week high and 84% above its 52-week low, currently above its 200-day average. For context, the median of 10 Industrials peers we cover trades at -48% fair-value upside, at -57%, ABBN screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model BearBaseBull Evidence
Highest evidence
Growth DCF CHF 23.94 CHF 32.40 CHF 47.99 80
Residual Income CHF 17.15 CHF 22.85 CHF 132.49 76
Rev-Margin DCF CHF 24.08 CHF 36.69 CHF 52.59 74
All 24 models by family
DCF Models
FCF DCF CHF 22.93 CHF 31.56 CHF 48.96 38
Owner Earnings CHF 23.36 CHF 32.14 CHF 49.84 31
5Y Revenue Exit CHF 24.08 CHF 36.13 CHF 54.27 39
5Y EBITDA Exit CHF 26.43 CHF 40.10 CHF 58.86 41
5Y P/E Exit CHF 28.56 CHF 43.73 CHF 62.45 38
10Y Revenue Exit CHF 22.65 CHF 33.00 CHF 44.76 36
10Y EBITDA Exit CHF 24.87 CHF 35.61 CHF 47.70 37
10Y P/E Exit CHF 26.18 CHF 37.99 CHF 50.01 35
Earnings-Based
Graham-Dodd CHF 17.74 CHF 28.52 CHF 34.39 54
EPV CHF 20.07 CHF 23.71 CHF 26.89 59
Dividend Discount
Gordon GGM CHF 9.65 CHF 11.63 CHF 13.78 70
DDM Multi-Stage CHF 9.65 CHF 12.82 CHF 16.79 61
Multiples
P/E Multiple CHF 39.13 CHF 52.17 CHF 65.21 63
P/S Multiple CHF 33.26 CHF 44.34 CHF 55.43 58
P/B Multiple CHF 19.94 CHF 26.59 CHF 33.24 55
EV/EBIT CHF 40.86 CHF 55.06 CHF 69.27 53
EV/EBITDA CHF 33.39 CHF 45.10 CHF 56.82 54
EV/Revenue CHF 26.97 CHF 39.28 CHF 51.59 43
Asset-Based
NCAV (Graham) CHF 4.43 CHF 5.94 CHF 8.86 50
Growth DCF
Growth DCF CHF 23.94 CHF 32.40 CHF 47.99 80
Rev-Margin DCF CHF 24.08 CHF 36.69 CHF 52.59 74
Economic Profit
Residual Income CHF 17.15 CHF 22.85 CHF 132.49 76
ROIC Compounder CHF 20.39 CHF 24.66 CHF 29.32 72
Growth Earnings
Growth-Adj P/E CHF 27.68 CHF 39.55 CHF 51.41 68

Widest divergence: Multiples (CHF 44.34) versus Asset-Based (CHF 5.94). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) CHF 34.6B
Revenue growth (YoY) +18.3%
Net margin 14.3%
Return on equity 33.6%
Free cash flow CHF 4.5B FY2025
P/E ratio 38.8
More key figures
Operating margin 20.6%
EPS (TTM) CHF 2.16
Dividend yield 1.4%
EPS growth (YoY) +21.2%
Net debt CHF 4.5B FY2025

Figures from reported company fundamentals · as of Jul 14, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 76/100

Of which business quality 70 · Market factors (momentum, volatility) 75

Profitability 67
Margins and returns on capital today
Quality Growth 58
Are margins and returns improving?
Cashflow 61
Earnings quality: real cash, not paper profit
Fin. Strength 71
Balance sheet, leverage, solvency risk
Investment 77
Disciplined investing over empire-building
Low Volatility 66
Calm price path (market factor)
Momentum 73
Price trend over the last 3–12 months (market factor)
52W Momentum 90
Distance to the 52-week high (market factor)
Net Issuance 96
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

ABB Ltd provides electrification, motion, and automation solutions and products for customers in utilities, industry and transport, and infrastructure in Europe, the Americas, Asia, the Middle East, and Africa. The company operates through Electrification, Motion, and Automation segments.

Full company description

ABB Ltd provides electrification, motion, and automation solutions and products for customers in utilities, industry and transport, and infrastructure in Europe, the Americas, Asia, the Middle East, and Africa. The company operates through Electrification, Motion, and Automation segments. Its Electrification segment offers renewable power solutions, modular substation packages, distribution automation products, switchboards and panelboards, switchgears, UPS solutions, circuit breakers, measuring and sensing devices, control products, wiring accessories, enclosures and cabling systems, and intelligent home and building solutions. The company's Motion segment designs, manufactures, and sells drives, motors, generators, and traction converters that are driving the low-carbon future for industries, cities, infrastructure, and transportation. The company's Automation segment offers industry-specific, integrated automation, electrification and digital solutions, as well as lifecycle services for the process, hybrid and marine industries. This segment also provides control technologies; process, machine and factory automation; industrial software; advanced analytics; sensing and measurement technology; and marine propulsion systems; services such as remote monitoring, preventive maintenance, asset performance management, emission monitoring and cybersecurity. It serves oil, gas, renewables, chemicals, mining, metals, cement, pulp and paper, pharmaceuticals, battery manufacturing, food and beverage, space, power generation, water, marine, and ports industries. The company was founded in 1883 and is headquartered in Zurich, Switzerland.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

ABB Ltd reported revenue of CHF 33.2B in FY2025 versus CHF 28.9B in FY2021, a compound +3.5%/yr. Reported net income was CHF 4.7B in FY2025, compounding +1.0%/yr from FY2021.

Growth Quality 79/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
CHF 33.2B
Latest YoY
+8.6%
Avg. growth/yr (3Y)
+4.1%
Avg. growth/yr (5Y)
+4.9%
Avg. growth/yr (26Y)
+1.2%
Revenue +3.5%/yr
FY21 CHF 28.9B
FY22 CHF 29.4B
FY23 CHF 32.2B
FY24 CHF 30.6B
FY25 CHF 33.2B
Net income +1.0%/yr
FY21 CHF 4.5B
FY22 CHF 2.5B
FY23 CHF 3.7B
FY24 CHF 3.9B
FY25 CHF 4.7B

ABBN screens 57% overvalued. Compare with Contemporary Amperex Technology Co →

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Cite: Fair Value Calculator (2026). "ABB Ltd Fair Value". https://www.fairvalue-calculator.com/stock/ABBN

Recent news

External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.

Peer Group

Electrical Equipment & Parts · 519 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 76 · Top 25%
Fair Value upside −57% · Below median
Return on equity (TTM) 34% · Top 25%
Return on assets 9% · Top 25%
Net margin (TTM) 14% · Top 25%
Operating margin (TTM) 21% · Top 25%
Revenue growth 18% · Above median
Dividend yield (TTM) 1.4% · Above median
Debt / equity 0.49× · Higher than 75% of peers

Valuation Multiples vs Electrical Equipment & Parts median · lower = cheaper

P/E (TTM) 38.8× · Pricier than median
P/B 11.70× · Pricier than 75% of peers
P/S (TTM) 5.44× · Pricier than 75% of peers
P/FCF 42.1× · Pricier than 75% of peers
EV/EBITDA 27.3× · Pricier than median
PEG 3.21× · Pricier than 75% of peers

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 0 · sector 0
FUTURE 92 · sector 57
PAST 100 · sector 27
HEALTH 76 · sector 97
DIVIDEND 28 · sector 18

VALUE 0: the price sits above our fair-value range.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Electrical Equipment & Parts stocks, each showing price versus our Fair Value estimate (as of Jul 14, 2026).

Stock Price Fair Value vs Fair Value
Contemporary Amperex Technology Co 3750 HK$675.50 HK$391.44 -42%
Delta Electronics (Thailand) Public Company TDED 12.39 SGD 1.48 SGD -88%
LG Energy Solution, Ltd 373220 334,000 KRW 201,455 KRW -40%
WEG S.A WEGE3 13,210 ARS 7,948 ARS -40%
Sungrow Power Supply Co 300274 ¥114.79 ¥123.83 +8%
Shenzhen Inovance Technology Co 300124 ¥63.43 ¥33.04 -48%
HD Hyundai Electric Co 267260 823,000 KRW 371,133 KRW -55%
LS ELECTRIC Co 010120 190,000 KRW 31,517 KRW -83%
Sieyuan Electric Co 002028 ¥151.73 ¥71.69 -53%
Hyosung Heavy Industries Corporation 298040 2,789,000 KRW 1,065,378 KRW -62%

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Frequently asked questions

Is ABB Ltd (ABBN) overvalued or undervalued?
As of Jul 14, 2026, our model estimates a fair value of CHF 35.46 versus a price of CHF 82.32, about −57% (overvalued).
What is the fair value of ABBN?
Our model-based fair value for ABB Ltd is CHF 35.46 (as of Jul 14, 2026), built from audited fundamentals. The current price is CHF 82.32.
What is the quality score of ABBN?
ABB Ltd has a Quality Score of 76/100. It combines two groups: business quality (profitability, growth, cash flow, balance-sheet strength) and market factors (price momentum, distance to the 52-week high, volatility). Both subtotals are shown separately in the detail view.
What is the revenue of ABB Ltd (ABBN)?
ABB Ltd reported trailing-twelve-month revenue of about CHF 34.6B (latest available figure, as of Jul 14, 2026).
What is the net profit margin of ABBN?
The net profit margin of ABB Ltd is about 14.3%, meaning it keeps roughly 14.3% of revenue as net income. Based on the latest reported figures.
Does ABB Ltd pay a dividend?
ABB Ltd currently shows a dividend yield of about 1.42% relative to its recent price (as of Jul 14, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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