Essity AB (publ) (ESSITY-A.ST) Stock Analysis & Winston Score

Essity is a Swedish company that makes everyday hygiene and health products that people use at home, in hospitals, and at work. Its main products include toilet paper, diapers, feminine care items, incontinence products, and medical wound care supplies, sold under well-known brands like TENA, Tork, Leukoplast, and Libero. It is one of the largest hygiene and health companies in the world, competing directly with Procter & Gamble and Kimberly-Clark. Essity makes money by selling its products to retailers, hospitals, and businesses in over 150 countries, with Europe being its largest market. The company's competitive edge comes from its strong brand portfolio and its professional products division, which supplies businesses and healthcare facilities under long-term contracts. Its main risk is rising raw material costs — things like pulp and energy — which can squeeze profit margins, and the company has limited ability to fully pass those cost increases on to customers in competitive retail markets.