Investing IdeasBrowse All StocksMarkets
Have your own idea? Try our Stock Screener
Header cover image

German (DAX) Software Industry Analysis

UpdatedApr 15, 2026
DataAggregated Company Financials
Companies41
  • 7D-1.4%
  • 3M-30.2%
  • 1Y-38.6%
  • YTD-29.0%

Over the last 7 days, the Software industry has dropped 4.3%, driven by a pullback from SAP of 1.2%. In contrast, Northern Data has gained 18%. The industry has fallen 38% in the last year. Looking forward, earnings are forecast to grow by 14% annually.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 15 Apr 2026€180.7b€41.1b€7.1b20.1x25.4x4.4x
Fri, 13 Mar 2026€209.4b€41.2b€7.4b25.9x28.1x5.1x
Sun, 08 Feb 2026€214.8b€41.1b€7.6b26.7x28.3x5.2x
Tue, 06 Jan 2026€259.2b€40.8b€7.3b27.7x35.3x6.4x
Thu, 04 Dec 2025€259.6b€40.8b€7.3b27.7x35.4x6.4x
Sat, 01 Nov 2025€281.5b€40.7b€7.3b31.9x38.3x6.9x
Mon, 29 Sep 2025€282.2b€39.4b€6.7b34.8x42.2x7.2x
Wed, 27 Aug 2025€291.3b€39.4b€6.7b31.3x43.6x7.4x
Fri, 25 Jul 2025€309.0b€39.3b€6.7b29.2x46.2x7.9x
Sun, 22 Jun 2025€314.7b€38.9b€5.9b30.9x53.5x8.1x
Tue, 20 May 2025€331.2b€38.9b€5.8b34x56.9x8.5x
Thu, 17 Apr 2025€293.2b€38.7b€3.3b26.4x88.4x7.6x
Sat, 15 Mar 2025€306.1b€38.5b€3.3b24.1x92.9x8x
Mon, 10 Feb 2025€339.6b€38.5b€3.3b21.7x102x8.8x
Wed, 08 Jan 2025€304.5b€37.4b€2.9b23.7x103.6x8.1x
Fri, 06 Dec 2024€302.7b€37.4b€2.9b25.5x102.9x8.1x
Sun, 03 Nov 2024€273.1b€37.3b€2.9b24.4x92.8x7.3x
Tue, 01 Oct 2024€257.6b€36.6b€2.8b26.9x93.6x7x
Thu, 29 Aug 2024€250.4b€37.6b€2.7b26.4x92.7x6.7x
Sat, 27 Jul 2024€247.8b€36.9b€2.6b24.3x95.9x6.7x
Mon, 24 Jun 2024€229.1b€36.5b€2.6b22.6x89.3x6.3x
Wed, 22 May 2024€228.4b€36.5b€2.6b21.7x89.5x6.3x
Fri, 19 Apr 2024€216.9b€36.5b€3.9b22.7x56.3x5.9x
Sun, 17 Mar 2024€221.2b€36.3b€4.1b20.5x53.9x6.1x
Tue, 13 Feb 2024€217.6b€36.2b€4.1b21.4x53.6x6x
Thu, 11 Jan 2024€188.2b€38.0b€2.3b23.8x82.6x5x
Sat, 09 Dec 2023€195.3b€38.0b€2.3b23.5x86.3x5.1x
Mon, 06 Nov 2023€171.9b€38.0b€2.3b25.3x75.5x4.5x
Wed, 04 Oct 2023€163.4b€37.6b€1.8b27.2x89.5x4.3x
Fri, 01 Sep 2023€172.2b€37.6b€1.8b26.8x93.6x4.6x
Sun, 30 Jul 2023€165.7b€37.5b€1.8b31.7x90.8x4.4x
Tue, 27 Jun 2023€164.5b€37.4b€2.2b30.2x73.5x4.4x
Thu, 25 May 2023€161.5b€37.4b€2.3b30.4x71x4.3x
Sat, 22 Apr 2023€162.5b€36.6b€2.9b27.6x55.9x4.4x
Price to Earnings Ratio

55.9x


Total Market Cap: €162.5bTotal Earnings: €2.9bTotal Revenue: €36.6bTotal Market Cap vs Earnings and Revenue0%0%0%
German Software Industry Price to Earnings3Y Average 70.5x202420252026
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 25.2x which is lower than its 3-year average PE of 70.5x.
  • The 3-year average PS ratio of 6.4x is higher than the industry's current PS ratio of 4.4x.
Past Earnings Growth
  • The earnings for companies in the Software industry have grown 35% per year over the last three years.
  • Revenues for these companies have grown 3.9% 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 Market4.74%
Tech2.89%
Software-1.36%
Systems Software4.38%
Application Software-1.38%
Industry PE
  • Investors are most optimistic about the Application Software industry even though it's trading below its 3-year average PE ratio of 69.4x.
    • Analysts expect its future annual earnings growth (14.0%) to be largely in line with prior year's earnings growth.
  • 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 21% over the next 5 years.
  • However this is lower than its past earnings growth rate of 27% per year.
  • In contrast, the Application Software industry is expected to see its earnings grow by 14% 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
NB2 Northern Data€9.4614.0%
+€74.8m		-60.9%PS7.6x
IXX init innovation in traffic systems€42.408.0%
+€31.3m		10.4%PE21.5x
MUM Mensch und Maschine Software€36.255.2%
+€29.6m		-29.6%PE18.8x
N4G0 NAGA Group€1.8633.0%
+€10.7m		-65.6%PS0.7x
TMV TeamViewer€4.391.4%
+€9.8m		-64.4%PE6.1x

Latest News

NEM
€57.60
Nemetschek
7D
-8.5%
1Y
-47.2%
CSH
€6.80
CENIT
7D
8.3%
1Y
-14.8%

CSH: Higher Future P/E Assumption Will Support Perceived Undervalued Upside

Analysts have maintained their CENIT fair value estimate at €15.00. They have made a slightly lower discount rate assumption, modest adjustments to the long-term revenue growth and profit margin outlook, and adopted a higher assumed future P/E multiple, all of which shape the refreshed price target narrative.
IXX
€42.40
init innovation in traffic systems
7D
8.0%
1Y
10.4%
NB2
€9.46
Northern Data
7D
14.0%
1Y
-60.9%

NB2: Strong 2026 Revenue Guidance Will Support Reappraisal Of Undervalued AI Infrastructure

Analysts have kept their €26.33 price target for Northern Data unchanged, citing essentially steady assumptions for the discount rate, revenue growth, profit margin and future P/E as the basis for maintaining their view. What's in the News Northern Data issued group revenue guidance for the first quarter of fiscal 2026, noting strong revenue momentum supported by its customer allocation strategy, utilization rate and contract pricing (Key Developments).
SAP
€143.46
SAP
7D
-1.2%
1Y
-38.3%

SAP: Cloud Execution And AI Resilience Will Support Future Upside

The analyst price target for SAP has been reduced in line with recent Street moves that lowered targets into the €225 to €290 range, as analysts factor in updated fair value assumptions, a revised future P/E of about 29.5x, and ongoing debates around growth and AI disruption risk. Analyst Commentary Recent Street research on SAP reflects a mix of optimism and caution, with several firms adjusting price targets and, in a few cases, ratings.
SJJ
€12.40
Serviceware
7D
-2.4%
1Y
-9.5%

Serviceware's (ETR:SJJ) Earnings Are Of Questionable Quality

Apr 04
Serviceware's (ETR:SJJ) Earnings Are Of Questionable Quality
TMV
€4.39
TeamViewer
7D
1.4%
1Y
-64.4%

TMV: AI Execution Risks Will Trigger Future Earnings Re Rating Opportunity

Narrative Update: TeamViewer Analyst Target Shift The updated analyst price target for TeamViewer is €8.57 per share. This level reflects mixed recent research, with some analysts reducing targets toward €5 on AI-related risks while others turned more positive.
MUM
€36.25
Mensch und Maschine Software
7D
5.2%
1Y
-29.6%

Concerns Surrounding Mensch und Maschine Software's (ETR:MUM) Performance

Mar 24
Concerns Surrounding Mensch und Maschine Software's (ETR:MUM) Performance
1INN
€69.60
innoscripta
7D
0.9%
1Y
n/a
DTD2
€1.84
B+S Banksysteme
7D
-7.3%
1Y
-4.4%
N4G0
€1.86
NAGA Group
7D
33.0%
1Y
-65.6%
ABX
€1.57
Advanced Blockchain
7D
-8.4%
1Y
-49.8%
R1B
€4.50
Rubean
7D
-3.4%
1Y
-9.3%
81D
€3.95
Swissnet
7D
-3.7%
1Y
-35.8%
ESY
€19.90
Easy Software
7D
-0.5%
1Y
16.4%
PSAN
€45.80
PSI Software
7D
0.9%
1Y
78.2%