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German (DAX) Software Industry Analysis

UpdatedJan 09, 2026
DataAggregated Company Financials
Companies41
  • 7D-1.0%
  • 3M-10.6%
  • 1Y-15.8%
  • YTD2.1%

In the last week, Software has been flat. As for the longer term, the industry has declined 16% in the last year. As for the next few years, earnings are expected to grow by 13% per annum.

Industry Valuation and Performance

Has the German Software Industry valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sat, 10 Jan 2026€258.9b€40.8b€7.3b28.1x35.3x6.3x
Mon, 08 Dec 2025€267.8b€40.8b€7.3b27.2x36.5x6.6x
Wed, 05 Nov 2025€283.1b€40.7b€7.3b31.6x38.7x6.9x
Fri, 03 Oct 2025€290.5b€39.4b€6.7b33.7x43.4x7.4x
Sun, 31 Aug 2025€291.0b€39.4b€6.7b33.2x43.5x7.4x
Tue, 29 Jul 2025€306.6b€39.3b€6.7b29.1x45.9x7.8x
Thu, 26 Jun 2025€316.5b€38.8b€5.9b29.8x53.8x8.2x
Sat, 24 May 2025€325.9b€38.9b€5.9b34.3x55.7x8.4x
Mon, 21 Apr 2025€285.7b€38.7b€3.3b26.2x86.1x7.4x
Wed, 19 Mar 2025€311.1b€38.5b€3.3b24.7x94.5x8.1x
Fri, 14 Feb 2025€351.1b€38.5b€3.3b22.3x105.5x9.1x
Sun, 12 Jan 2025€307.8b€37.4b€2.9b24.3x104.7x8.2x
Tue, 10 Dec 2024€301.8b€37.4b€2.9b23.7x102.6x8.1x
Thu, 07 Nov 2024€268.5b€37.3b€2.9b25x91.3x7.2x
Sat, 05 Oct 2024€253.5b€36.6b€2.8b27.1x92.1x6.9x
Mon, 02 Sep 2024€253.6b€37.6b€2.8b26.4x91.9x6.8x
Wed, 31 Jul 2024€243.6b€36.9b€2.6b24.3x94.2x6.6x
Fri, 28 Jun 2024€236.7b€36.5b€2.6b23.4x92.2x6.5x
Sun, 26 May 2024€228.5b€36.5b€2.6b21.9x89x6.3x
Tue, 23 Apr 2024€212.7b€36.5b€3.9b23x55.2x5.8x
Thu, 21 Mar 2024€223.7b€36.3b€4.1b20.5x54.5x6.2x
Sat, 17 Feb 2024€214.1b€36.2b€4.1b21.2x52.7x5.9x
Mon, 15 Jan 2024€192.0b€38.0b€2.3b24x84.3x5.1x
Wed, 13 Dec 2023€194.4b€38.0b€2.3b23.1x85.3x5.1x
Fri, 10 Nov 2023€179.1b€38.0b€2.3b23.7x79.1x4.7x
Sun, 08 Oct 2023€164.1b€37.6b€1.8b27.3x89.8x4.4x
Tue, 05 Sep 2023€171.1b€37.6b€1.8b27.9x93.1x4.5x
Thu, 03 Aug 2023€164.2b€37.6b€1.8b28.9x89.6x4.4x
Sat, 01 Jul 2023€169.0b€37.4b€2.2b32.3x75.5x4.5x
Mon, 29 May 2023€165.4b€37.4b€2.3b30.8x72.8x4.4x
Wed, 26 Apr 2023€164.4b€36.6b€2.9b27.6x56.5x4.5x
Fri, 24 Mar 2023€153.6b€36.6b€2.9b28.8x53x4.2x
Sun, 19 Feb 2023€146.6b€36.5b€2.9b25.6x50.9x4x
Tue, 17 Jan 2023€144.5b€35.9b€3.8b25.3x38.1x4x
Price to Earnings Ratio

38.1x


Total Market Cap: €144.5bTotal Earnings: €3.8bTotal Revenue: €35.9bTotal Market Cap vs Earnings and Revenue0%0%0%
German Software Industry Price to Earnings3Y Average 72.2x202420252026
Current Industry PE
  • Investors are pessimistic on the German Software industry, indicating that they anticipate long term growth rates will be lower than they have historically.
  • The industry is trading at a PE ratio of 35.3x which is lower than its 3-year average PE of 72.2x.
  • The industry is trading close to its 3-year average PS ratio of 6.3x.
Past Earnings Growth
  • The earnings for companies in the Software industry have grown 25% per year over the last three years.
  • Revenues for these companies have grown 4.3% per year.
  • This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.

Industry Trends

Which industries have driven the changes within the German Tech industry?

DE Market2.36%
Tech0.67%
Software-0.99%
Systems Software2.40%
Application Software-1.01%
Industry PE
  • Investors are most optimistic about the Application Software industry even though it's trading below its 3-year average PE ratio of 70.9x.
    • Analysts are expecting annual earnings growth of 13.4%, which is lower than the prior year's growth of 18.5% per year.
  • Investors are most pessimistic about the Systems Software industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average.
Forecasted Growth
  • Analysts are most optimistic on the Systems Software industry, expecting annual earnings growth of 24% over the next 5 years.
  • This is better than its past earnings growth rate of 0.4% per year.
  • In contrast, the Application Software industry is expected to see its earnings grow by 13% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuation
SAP SAP€212.355.1%
+€12.1b		-13.6%PE34.9x
NEM Nemetschek€91.601.4%
+€150.1m		-6.4%PE51.8x
AOF ATOSS Software€117.804.2%
+€76.4m		2.4%PE40.2x
1INN innoscripta€92.805.2%
+€46.0m		n/aPE23.8x
IXX init innovation in traffic systems€48.306.6%
+€29.8m		25.5%PE28.8x

Latest News

NEM
€91.60
Nemetschek
7D
1.4%
1Y
-6.4%

NEM: Construction Software Digitization Will Support Premium Multiples Despite Mixed Rating Signals

Narrative Update The updated analyst price target for Nemetschek edges lower to about €120 from roughly €123, as analysts factor in slightly adjusted fair value, discount rate and P/E assumptions, while still highlighting the company's position in construction software and noting mixed views on the shares. Analyst Commentary Analysts are split on Nemetschek, with views clustering around how much upside remains at current levels versus the execution needed to justify recent valuation assumptions.
R1B
€7.00
Rubean
7D
58.4%
1Y
54.2%
SAP
€212.35
SAP
7D
5.1%
1Y
-13.6%

SAP: Cloud Conversion And EU AI Cloud Will Drive Future Upside

SAP's updated fair value estimate edges down to about $282.05 from $286.75, even as analysts raise price targets into a €310 to $348 range. This reflects mixed views that balance more cautious revenue assumptions with confidence in the company's cloud pipeline and long term positioning.
TMV
€5.99
TeamViewer
7D
1.4%
1Y
-41.8%

TMV: Cost Controls And Recurring Revenues Will Support Future Earnings Re-Rating

Analysts have trimmed their price target on TeamViewer to €11 from €14, reflecting updated assumptions for the discount rate, margin profile, and future P/E multiples in their models. Analyst Commentary Recent commentary reflects a more cautious stance on TeamViewer, with the trimmed price target to €11 indicating reassessment of both execution risks and valuation assumptions.
NB2
€12.81
Northern Data
7D
-7.6%
1Y
-73.9%

NB2: New Leadership Will Unlock Undervalued AI Infrastructure Upside Despite Guidance Withdrawal

Analysts have lowered their price target for Northern Data from EUR 27 to EUR 15. This reflects a more cautious stance on the shares despite only modest updates to discount rate and long term growth and profitability assumptions.
OSP2
€8.80
USU Software
7D
-1.6%
1Y
-59.4%
SJJ
€18.10
Serviceware
7D
-4.2%
1Y
41.4%

Returns Are Gaining Momentum At Serviceware (ETR:SJJ)

Dec 18
Returns Are Gaining Momentum At Serviceware (ETR:SJJ)
AOF
€117.80
ATOSS Software
7D
4.2%
1Y
2.4%
IXX
€48.30
init innovation in traffic systems
7D
6.6%
1Y
25.5%
1INN
€92.80
innoscripta
7D
5.2%
1Y
n/a

Some innoscripta SE (ETR:1INN) Shareholders Look For Exit As Shares Take 25% Pounding

Dec 04
Some innoscripta SE (ETR:1INN) Shareholders Look For Exit As Shares Take 25% Pounding
81D
€5.05
Swissnet
7D
-15.8%
1Y
-28.9%

Swissnet AG (FRA:81D) Stock's 26% Dive Might Signal An Opportunity But It Requires Some Scrutiny

Nov 26
Swissnet AG (FRA:81D) Stock's 26% Dive Might Signal An Opportunity But It Requires Some Scrutiny
ESY
€17.60
Easy Software
7D
-6.9%
1Y
1.1%
FAA
€17.00
Fabasoft
7D
6.9%
1Y
4.6%

We Think You Should Be Aware Of Some Concerning Factors In Fabasoft's (ETR:FAA) Earnings

Nov 15
We Think You Should Be Aware Of Some Concerning Factors In Fabasoft's (ETR:FAA) Earnings
8R20
€0.054
Universal Digital
7D
-17.4%
1Y
-72.7%
MUM
€43.95
Mensch und Maschine Software
7D
-0.1%
1Y
-18.0%
MSGL
€3.62
msg life ag
7D
-0.5%
1Y
16.0%