New Risk • Nov 13
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: €92.7m (US$98.4m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. This is currently the only risk that has been identified for the company. Reported Earnings • Sep 15
Second quarter 2024 earnings released Second quarter 2024 results: Revenue: €16.5m (down 17% from 2Q 2023). Net loss: €3.26m (down 263% from profit in 2Q 2023). Revenue is forecast to grow 14% p.a. on average during the next 3 years, compared to a 10% growth forecast for the Software industry in Germany. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 81 percentage points per year, which is a significant difference in performance. Buy Or Sell Opportunity • Jul 02
Now 3.0% overvalued after recent price rise Over the last 90 days, the stock has risen 1.2% to €5.71. The fair value is estimated to be €5.54, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 57% over the last 3 years. Meanwhile, the company became loss making. Buy Or Sell Opportunity • Jun 23
Now 21% overvalued after recent price rise Over the last 90 days, the stock has risen 6.3% to €5.89. The fair value is estimated to be €4.87, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 57% over the last 3 years. Meanwhile, the company became loss making. Reported Earnings • May 17
First quarter 2024 earnings released: €0.23 loss per share (vs €0.069 loss in 1Q 2023) First quarter 2024 results: €0.23 loss per share (further deteriorated from €0.069 loss in 1Q 2023). Revenue: €14.6m (down 13% from 1Q 2023). Net loss: €5.40m (loss widened 234% from 1Q 2023). Revenue is forecast to grow 12% p.a. on average during the next 3 years, compared to a 9.8% growth forecast for the Software industry in Germany. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 85 percentage points per year, which is a significant difference in performance. New Risk • May 14
New major risk - Revenue and earnings growth Earnings have declined by 27% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. This is currently the only risk that has been identified for the company. Buy Or Sell Opportunity • May 14
Now 23% overvalued The stock has been flat over the last 90 days, currently trading at €6.58. The fair value is estimated to be €5.35, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 64% over the last 3 years. Meanwhile, the company became loss making. New Risk • Apr 05
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of German stocks, typically moving 7.6% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. This is currently the only risk that has been identified for the company. Reported Earnings • Mar 15
Full year 2023 earnings released Full year 2023 results: Revenue: €68.3m (up 21% from FY 2022). Net loss: €10.7m (down €12.9m from profit in FY 2022). Revenue is forecast to grow 16% p.a. on average during the next 2 years, compared to a 9.4% growth forecast for the Software industry in Germany. Over the last 3 years on average, earnings per share has fallen by 57% per year but the company’s share price has only fallen by 17% per year, which means it has not declined as severely as earnings. Valuation Update With 7 Day Price Move • Feb 09
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to €6.26, the stock trades at a forward P/E ratio of 35x. Average forward P/E is 19x in the Software industry in Germany. Total loss to shareholders of 39% over the past year. Simply Wall St's valuation model estimates the intrinsic value at €6.23 per share. Reported Earnings • Nov 17
Third quarter 2023 earnings released: €0.15 loss per share (vs €0.13 profit in 3Q 2022) Third quarter 2023 results: €0.15 loss per share (down from €0.13 profit in 3Q 2022). Revenue: €11.5m (down 43% from 3Q 2022). Net loss: €4.44m (down 250% from profit in 3Q 2022). Revenue is forecast to grow 13% p.a. on average during the next 3 years, compared to a 7.9% growth forecast for the Software industry in Germany. Valuation Update With 7 Day Price Move • Nov 02
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to €7.13, the stock trades at a forward P/E ratio of 26x. Average forward P/E is 25x in the Software industry in Germany. Total loss to shareholders of 19% over the past year. Simply Wall St's valuation model estimates the intrinsic value at €8.94 per share. Buying Opportunity • Oct 19
Now 21% undervalued after recent price drop Over the last 90 days, the stock is down 13%. The fair value is estimated to be €9.05, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 68% over the last 3 years. Earnings per share has declined by 51%. Revenue is forecast to grow by 26% in 2 years. Earnings is forecast to grow by 207% in the next 2 years. Buying Opportunity • Sep 15
Now 20% undervalued after recent price drop Over the last 90 days, the stock is down 8.5%. The fair value is estimated to be €10.13, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 68% over the last 3 years. Earnings per share has declined by 50%. Revenue is forecast to grow by 26% in 2 years. Earnings is forecast to grow by 270% in the next 2 years. Board Change • Nov 16
Less than half of directors are independent There are 6 new directors who have joined the board in the last 3 years. Of these new board members, 2 were independent directors. The company's board is composed of: 2 independent directors. 6 non-independent directors. Independent Director Vincenzo Pompa was the last independent director to join the board, commencing their role in 2021. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Lack of board continuity. Reported Earnings • Sep 24
First half 2022 earnings released: EPS: €0 (vs €0.02 in 1H 2021) First half 2022 results: EPS: €0 (down from €0.02 in 1H 2021). Revenue: €16.7m (up 170% from 1H 2021). Net loss: €3.60m (down €3.90m from profit in 1H 2021). Revenue is forecast to grow 31% p.a. on average during the next 3 years, compared to a 8.3% growth forecast for the Software industry in Germany. Board Change • Apr 27
Less than half of directors are independent There are 6 new directors who have joined the board in the last 3 years. Of these new board members, 2 were independent directors. The company's board is composed of: 2 independent directors. 6 non-independent directors. Independent Director Vincenzo Pompa was the last independent director to join the board, commencing their role in 2021. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Lack of board continuity. Valuation Update With 7 Day Price Move • Mar 15
Investor sentiment improved over the past week After last week's 20% share price gain to €11.62, the stock trades at a forward P/E ratio of 35x. Average forward P/E is 29x in the Software industry in Germany. Total returns to shareholders of 30% over the past year. Simply Wall St's valuation model estimates the intrinsic value at €11.54 per share. Reported Earnings • Sep 25
First half 2021 earnings released The company reported a mediocre first half result with weaker earnings and profit margins, although revenues improved. First half 2021 results: Revenue: €6.98m (up 35% from 1H 2020). Net income: €296.6k (down 79% from 1H 2020). Profit margin: 4.2% (down from 28% in 1H 2020). The decrease in margin was driven by higher expenses. Valuation Update With 7 Day Price Move • Aug 14
Investor sentiment improved over the past week After last week's 16% share price gain to €11.32, the stock trades at a forward P/E ratio of 41x. Average forward P/E is 36x in the Software industry in Germany. Simply Wall St's valuation model estimates the intrinsic value at €12.99 per share.