Are ATOSS Software SE (ETR:AOF) Investors Paying Above The Intrinsic Value?
Jul 27
German (DAX) Software Industry Analysis
UpdatedJul 31, 2024
DataAggregated Company Financials
Companies40
- 7D-2.3%
- 3M12.2%
- 1Y52.0%
- YTD36.6%
Over the last 7 days, the Software industry has risen 4.5%, driven by gains from ATOSS Software of 12%. In the last 12 months, the industry was up 52%. As for the next few years, earnings are expected to grow by 37% per annum.
Industry Valuation and Performance
Has the German Software Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Wed, 31 Jul 2024 | €243.6b | €36.9b | €2.6b | 24.3x | 94.2x | 6.6x |
| Fri, 28 Jun 2024 | €236.7b | €36.5b | €2.6b | 23.4x | 92.2x | 6.5x |
| Sun, 26 May 2024 | €228.5b | €36.5b | €2.6b | 21.9x | 89x | 6.3x |
| Tue, 23 Apr 2024 | €212.7b | €36.5b | €3.9b | 23x | 55.2x | 5.8x |
| Thu, 21 Mar 2024 | €223.7b | €36.3b | €4.1b | 20.5x | 54.5x | 6.2x |
| Sat, 17 Feb 2024 | €214.1b | €36.2b | €4.1b | 21.2x | 52.7x | 5.9x |
| Mon, 15 Jan 2024 | €192.0b | €38.0b | €2.3b | 24x | 84.3x | 5.1x |
| Wed, 13 Dec 2023 | €194.4b | €38.0b | €2.3b | 23.1x | 85.3x | 5.1x |
| Fri, 10 Nov 2023 | €179.1b | €38.0b | €2.3b | 23.7x | 79.1x | 4.7x |
| Sun, 08 Oct 2023 | €164.1b | €37.6b | €1.8b | 27.3x | 89.8x | 4.4x |
| Tue, 05 Sep 2023 | €171.1b | €37.6b | €1.8b | 27.9x | 93.1x | 4.5x |
| Thu, 03 Aug 2023 | €164.2b | €37.6b | €1.8b | 28.9x | 89.6x | 4.4x |
| Sat, 01 Jul 2023 | €169.0b | €37.4b | €2.2b | 32.3x | 75.5x | 4.5x |
| Mon, 29 May 2023 | €165.4b | €37.4b | €2.3b | 30.8x | 72.8x | 4.4x |
| Wed, 26 Apr 2023 | €164.4b | €36.6b | €2.9b | 27.6x | 56.5x | 4.5x |
| Fri, 24 Mar 2023 | €153.6b | €36.6b | €2.9b | 28.8x | 53x | 4.2x |
| Sun, 19 Feb 2023 | €146.6b | €36.5b | €2.9b | 25.6x | 50.9x | 4x |
| Tue, 17 Jan 2023 | €144.5b | €35.9b | €3.8b | 25.3x | 38.1x | 4x |
| Thu, 15 Dec 2022 | €139.1b | €35.9b | €3.8b | 25.9x | 36.5x | 3.9x |
| Sat, 12 Nov 2022 | €136.5b | €35.9b | €3.8b | 25.5x | 35.9x | 3.8x |
| Mon, 10 Oct 2022 | €117.1b | €34.8b | €4.5b | 23x | 25.8x | 3.4x |
| Wed, 07 Sep 2022 | €118.8b | €34.7b | €4.5b | 25.4x | 26.3x | 3.4x |
| Fri, 05 Aug 2022 | €129.9b | €34.5b | €4.2b | 27.9x | 30.6x | 3.8x |
| Sun, 03 Jul 2022 | €121.2b | €33.5b | €5.2b | 26.6x | 23.5x | 3.6x |
| Tue, 31 May 2022 | €134.8b | €33.5b | €5.1b | 30.5x | 26.7x | 4x |
| Thu, 28 Apr 2022 | €135.8b | €33.4b | €5.0b | 29.1x | 27.2x | 4.1x |
| Sat, 26 Mar 2022 | €147.4b | €32.8b | €5.3b | 32.3x | 27.8x | 4.5x |
| Mon, 21 Feb 2022 | €148.0b | €32.7b | €5.3b | 34.9x | 27.9x | 4.5x |
| Wed, 19 Jan 2022 | €172.5b | €32.2b | €5.8b | 36x | 29.9x | 5.4x |
| Fri, 17 Dec 2021 | €178.7b | €32.2b | €5.8b | 35.4x | 30.9x | 5.5x |
| Sun, 14 Nov 2021 | €183.4b | €32.6b | €5.8b | 40x | 31.7x | 5.6x |
| Tue, 12 Oct 2021 | €169.8b | €32.2b | €6.0b | 37.7x | 28.5x | 5.3x |
| Thu, 09 Sep 2021 | €180.4b | €32.2b | €6.0b | 40.4x | 30.3x | 5.6x |
| Sat, 07 Aug 2021 | €180.4b | €32.1b | €6.0b | 42.1x | 30.1x | 5.6x |
Price to Earnings Ratio
30.1x
Current Industry PE
- Investors are optimistic on the German Software industry, and appear confident in long term growth rates.
- The industry is trading at a PE ratio of 94.6x which is higher than its 3-year average PE of 51.9x.
- The 3-year average PS ratio of 4.7x is lower than the industry's current PS ratio of 6.6x.
Past Earnings Growth
- The earnings for companies in the Software industry have declined 24% per year over the last three years.
- Meanwhile revenues for these companies have grown 4.7% per year.
- This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased, which has decreased profits.
Industry Trends
Which industries have driven the changes within the German Tech industry?
| DE Market | -0.46% | |
| Tech | -2.46% | |
| Software | -2.32% | |
| Systems Software | -0.64% | |
| Application Software | -2.34% | |
Industry PE
- Investors are most optimistic about the Systems Software industry which is trading above its 3-year average PE ratio.
- Analysts are expecting annual earnings growth of 79.3%, which is higher than its past year's earnings growth of 23.6% per year.
- Investors are most pessimistic about the Application Software industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 49.6x.
Forecasted Growth
- Analysts are most optimistic on the Systems Software industry, expecting annual earnings growth of 79% over the next 5 years.
- This is better than its past earnings growth rate of 24% per year.
- In contrast, the Application Software industry is expected to see its earnings grow by 37% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| AOF ATOSS Software | €136.00 | 11.7% +€225.9m | 24.8% | PE57.2x | |
| MUM Mensch und Maschine Software | €59.80 | 4.4% +€42.5m | 11.4% | PE33.4x | |
| TMV TeamViewer | €11.03 | 2.4% +€39.7m | -34.7% | PE15.4x | |
| SJJ Serviceware | €12.90 | 9.3% +€11.6m | 53.6% | PS1.4x | |
| GKS GK Software | €248.00 | 1.6% +€9.1m | n/a | PS3.6x |
