TIER 1 Technology, S.A.'s (BME:TR1) Low P/E No Reason For Excitement
Nov 21
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Spanish (IBEX) Software Industry Analysis
UpdatedDec 22, 2024
DataAggregated Company Financials
Companies5
- 7D1.8%
- 3M-1.5%
- 1Y-3.9%
- YTD-4.2%
In the last week, the Software industry is up 1.8%, with Agile Content up 5.5%. In the same time, Substrate Artificial Inteligence was down 7.4%. However, the industry is down 3.9% over the past year. As for the next few years, earnings are expected to grow by 17% per annum.
Industry Valuation and Performance
Has the Spanish Software Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Sun, 22 Dec 2024 | €178.9m | €160.0m | -€13,619,123.00 | 17.2x | -13.1x | 1.1x |
| Tue, 19 Nov 2024 | €187.2m | €160.0m | -€13,619,123.00 | 16.7x | -13.7x | 1.2x |
| Thu, 17 Oct 2024 | €180.9m | €162.3m | -€11,312,703.00 | 1732.3x | -16x | 1.1x |
| Sat, 14 Sep 2024 | €183.2m | €162.3m | -€11,312,703.00 | 1773.3x | -16.2x | 1.1x |
| Mon, 12 Aug 2024 | €187.4m | €162.3m | -€11,312,703.00 | 1793.9x | -16.6x | 1.2x |
| Wed, 10 Jul 2024 | €202.8m | €162.3m | -€11,312,703.00 | 2022.2x | -17.9x | 1.2x |
| Fri, 07 Jun 2024 | €160.1m | €58.4m | -€11,963,295.00 | 32.4x | -13.4x | 2.7x |
| Sun, 05 May 2024 | €139.0m | €62.5m | -€10,173,338.00 | 26.6x | -13.7x | 2.2x |
| Tue, 02 Apr 2024 | €232.3m | €160.9m | -€11,458,515.00 | 21.7x | -20.3x | 1.4x |
| Thu, 29 Feb 2024 | €213.8m | €163.4m | -€13,856,319.00 | n/a | -15.4x | 1.3x |
| Sat, 27 Jan 2024 | €205.9m | €163.4m | -€13,856,319.00 | n/a | -14.9x | 1.3x |
| Mon, 25 Dec 2023 | €206.9m | €180.9m | -€12,841,482.00 | 17.8x | -16.1x | 1.1x |
| Wed, 22 Nov 2023 | €215.3m | €177.3m | -€21,208,975.00 | 31.6x | -10.2x | 1.2x |
| Fri, 20 Oct 2023 | €194.8m | €172.7m | -€21,502,441.00 | 29.1x | -9.1x | 1.1x |
| Sun, 17 Sep 2023 | €211.2m | €172.7m | -€21,502,441.00 | 30.4x | -9.8x | 1.2x |
| Tue, 15 Aug 2023 | €220.4m | €172.7m | -€21,502,441.00 | 31.8x | -10.3x | 1.3x |
| Thu, 13 Jul 2023 | €203.7m | €172.7m | -€21,502,441.00 | 29.2x | -9.5x | 1.2x |
| Sat, 10 Jun 2023 | €208.8m | €155.2m | -€22,494,943.00 | 40.7x | -9.3x | 1.3x |
| Mon, 08 May 2023 | €221.9m | €131.9m | -€23,686,825.00 | 855.6x | -9.4x | 1.7x |
| Wed, 05 Apr 2023 | €222.0m | €130.0m | -€22,734,481.00 | 760.8x | -9.8x | 1.7x |
| Fri, 03 Mar 2023 | €236.4m | €130.0m | -€22,734,481.00 | 772.1x | -10.4x | 1.8x |
| Sun, 29 Jan 2023 | €264.2m | €120.9m | -€20,775,120.00 | 491.5x | -12.7x | 2.2x |
| Tue, 27 Dec 2022 | €215.1m | €136.2m | -€19,414,723.00 | 38.4x | -11.1x | 1.6x |
| Thu, 24 Nov 2022 | €210.3m | €135.5m | -€5,046,328.00 | 32.6x | -41.7x | 1.6x |
| Sat, 22 Oct 2022 | €206.2m | €130.7m | -€5,662,489.00 | 25.5x | -36.4x | 1.6x |
| Mon, 19 Sep 2022 | €226.3m | €101.5m | -€4,932,294.00 | 28x | -45.9x | 2.2x |
| Wed, 17 Aug 2022 | €258.8m | €101.5m | -€4,932,294.00 | 31.8x | -52.5x | 2.5x |
| Fri, 15 Jul 2022 | €271.2m | €87.6m | -€5,572,140.00 | 19.1x | -48.7x | 3.1x |
| Sun, 12 Jun 2022 | €306.9m | €87.6m | -€5,572,140.00 | 19.1x | -55.1x | 3.5x |
| Tue, 10 May 2022 | €243.0m | €59.0m | -€5,359,490.00 | 19.1x | -45.3x | 4.1x |
| Thu, 07 Apr 2022 | €263.6m | €53.7m | -€7,173,485.00 | 19.1x | -36.7x | 4.9x |
| Sat, 05 Mar 2022 | €257.4m | €53.7m | -€7,173,485.00 | 14.4x | -35.9x | 4.8x |
| Mon, 31 Jan 2022 | €289.3m | €53.7m | -€7,173,485.00 | 17.1x | -40.3x | 5.4x |
| Wed, 29 Dec 2021 | €309.8m | €51.8m | -€6,487,921.00 | 19.4x | -47.8x | 6x |
Price to Earnings Ratio
-47.8x
Current Industry PE
- Investors are pessimistic on the Spanish Software industry, indicating that they anticipate long term growth rates will be lower than they have historically.
- The 3-year average PS ratio of 2.2x is higher than the industry's current PS ratio of 1.1x.
Past Earnings Growth
- The earnings for companies in the Software industry have deteriorated over the last three years.
- Meanwhile revenues for these companies have grown 46% 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 caused losses to expand.
Industry Trends
Which industries have driven the changes within the Spanish Tech industry?
| ES Market | -2.18% | |
| Tech | -3.39% | |
| Software | 1.83% | |
| Application Software | 1.83% | |
| Systems Software | 0% | |
Industry PE
Forecasted Growth
- Analysts are most optimistic on the Application Software industry, expecting annual earnings growth of 17% over the next 5 years.
- However this is lower than its past earnings growth rate of 91% per year.
- In contrast, the Application Software industry is expected to see its earnings grow by 17% 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 | |
|---|---|---|---|---|---|
| AGIL Agile Content | €3.08 | 5.5% +€3.7m | -4.9% | PS0.7x | |
| FACE Facephi Biometria | €1.67 | 1.8% +€672.9k | -24.1% | PS1.2x | |
| TR1 TIER 1 Technology | €3.00 | 0.7% +€195.3k | 63.0% | PE17.2x |
