--- title: "Why AB Electrolux (OM:ELUX B) Is Down 29.8% After Q1 Loss, SEK 9bn Rights Issue And Midea Deal – And What's Next" type: "News" locale: "en" url: "https://longbridge.com/en/news/284120075.md" description: "AB Electrolux reported a Q1 2026 net loss of SEK 470 million on sales of SEK 29,543 million and announced a SEK 9 billion rights issue. The company is partnering with Midea Group and restructuring its manufacturing operations, which may impact its cost base and product mix. The rights issue is crucial for funding these initiatives and improving financial flexibility. Analysts project SEK 137.1 billion revenue and SEK 3.4 billion earnings by 2029, with a fair value estimate of SEK 72.70, indicating a 61% upside from the current price." datetime: "2026-04-26T17:58:18.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/284120075.md) - [en](https://longbridge.com/en/news/284120075.md) - [zh-HK](https://longbridge.com/zh-HK/news/284120075.md) --- # Why AB Electrolux (OM:ELUX B) Is Down 29.8% After Q1 Loss, SEK 9bn Rights Issue And Midea Deal – And What's Next - AB Electrolux has recently reported a first-quarter 2026 net loss of SEK 470 million on sales of SEK 29,543 million, while also announcing a SEK 9 billion rights issue and plans to amend its Articles of Association following an Extraordinary General Meeting held in May 2026. - At the same time, the company has entered a long-term partnership with Midea Group and is reshaping its global manufacturing footprint, moves that could materially alter its cost base, product mix, and regional exposure. - We will now examine how the Midea partnership and associated restructuring may reshape Electrolux’s existing investment narrative and long-term positioning. The best AI stocks today may lie beyond giants like Nvidia and Microsoft. Find the next big opportunity with these 18 smaller AI-focused companies with strong growth potential through early-stage innovation in machine learning, automation, and data intelligence that could fund your retirement. ## AB Electrolux Investment Narrative Recap To stay invested in Electrolux today, you need to believe the company can turn recent losses and structurally weak demand into a leaner, more resilient global appliance platform. The key short term catalyst is whether the North American overhaul, including the Midea partnership, can stop the earnings drag in that region, while the biggest risk is that persistent price pressure and weak volumes in Europe and North America keep margins under strain despite ongoing cost cuts. The SEK 9 billion rights issue stands out as the most relevant development, because it directly shapes Electrolux’s ability to fund the Midea joint ventures and broader manufacturing reshaping while reinforcing the balance sheet. For potential and existing shareholders, this capital raise affects both ownership dilution and the company’s financial flexibility around restructuring costs, including the planned closures in Hungary and Chile and the non recurring items tied to the North American transformation. Yet beneath the planned cost savings and new partnerships, investors should be aware that sustained discounting and competitive pressure could still... Read the full narrative on AB Electrolux (it's free!) AB Electrolux's narrative projects SEK137.1 billion revenue and SEK3.4 billion earnings by 2029. This requires 1.4% yearly revenue growth and about SEK2.5 billion earnings increase from SEK878.0 million today. Uncover how AB Electrolux's forecasts yield a SEK72.70 fair value, a 61% upside to its current price. ## Exploring Other Perspectives OM:ELUX B 1-Year Stock Price Chart Some of the most optimistic analysts were assuming revenue could reach about SEK 147,400 million and earnings SEK 5,300 million before this news, which is a far more upbeat story than the baseline view. As you compare those expectations with the fresh Midea partnership and restructuring headlines, it is worth remembering that your own conclusions may sit anywhere between these extremes and may shift again as the impact of these changes becomes clearer. Explore 3 other fair value estimates on AB Electrolux - why the stock might be worth over 4x more than the current price! ## Reach Your Own Conclusion Disagree with existing narratives? Extraordinary investment returns rarely come from following the herd, so go with your instincts. - A great starting point for your AB Electrolux research is our analysis highlighting 3 key rewards and 3 important warning signs that could impact your investment decision. - Our free AB Electrolux research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate AB Electrolux's overall financial health at a glance. ## Curious About Other Options? Our daily scans reveal stocks with breakout potential. Don't miss this chance: - Rare earth metals are the new gold rush. Find out which 32 stocks are leading the charge. - This technology could replace computers: discover 26 stocks that are working to make quantum computing a reality. - The future of work is here. Discover the 35 top robotics and automation stocks leading the charge in AI-driven automation and industrial transformation. _This article by Simply Wall St is general in nature. **We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice.** It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned._ ### **New:** Manage All Your Stock Portfolios in One Place We've created the **ultimate portfolio companion** for stock investors, **and it's free.** • Connect an unlimited number of Portfolios and see your total in one currency • Be alerted to new Warning Signs or Risks via email or mobile • Track the Fair Value of your stocks Try a Demo Portfolio for Free ### Related Stocks - [04501.HK](https://longbridge.com/en/quote/04501.HK.md) - [00300.HK](https://longbridge.com/en/quote/00300.HK.md) - [000333.CN](https://longbridge.com/en/quote/000333.CN.md) - [560880.CN](https://longbridge.com/en/quote/560880.CN.md) - [159328.CN](https://longbridge.com/en/quote/159328.CN.md) - [561120.CN](https://longbridge.com/en/quote/561120.CN.md) - [159730.CN](https://longbridge.com/en/quote/159730.CN.md) - [159996.CN](https://longbridge.com/en/quote/159996.CN.md) - [NVDA.US](https://longbridge.com/en/quote/NVDA.US.md) - [MSFT.US](https://longbridge.com/en/quote/MSFT.US.md) - [NVD.DE](https://longbridge.com/en/quote/NVD.DE.md) ## Related News & Research - [Bank of China Keeps Their Buy Rating on Midea Group Co. 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