Analysis Article • Jul 22
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- 7D-7.4%
- 3M-11.1%
- 1Y-20.8%
- YTD-18.2%
Over the last 7 days, the Software industry has dropped 3.3%, driven by pullbacks in Qt Group Oyj and F-Secure Oyj of 7.8% and 13%, respectively. Meanwhile, LeadDesk Oyj actually outperformed within the industry, gaining 7.0% in the last week. Overall the industry is down 16% in 12 months. Looking forward, earnings are forecast to grow by 24% annually.
Industry Valuation and Performance
Has the Finnish Software Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Fri, 24 Jul 2026 | €2.6b | €1.1b | €94.3m | 18.5x | 27.4x | 2.4x |
| Sun, 21 Jun 2026 | €2.9b | €969.4m | €83.8m | 20.2x | 34.4x | 3x |
| Tue, 19 May 2026 | €2.8b | €969.5m | €83.8m | 20.4x | 33.8x | 2.9x |
| Thu, 16 Apr 2026 | €2.9b | €968.5m | €90.3m | 17.3x | 31.8x | 3x |
| Sat, 14 Mar 2026 | €2.6b | €968.1m | €90.0m | 17.8x | 29.4x | 2.7x |
| Mon, 09 Feb 2026 | €3.0b | €907.8m | €67.0m | 20.1x | 44.8x | 3.3x |
| Wed, 07 Jan 2026 | €3.2b | €1.0b | €54.9m | 25.5x | 58.7x | 3.1x |
| Fri, 05 Dec 2025 | €2.8b | €1.0b | €61.2m | 25.1x | 46.5x | 2.8x |
| Sun, 02 Nov 2025 | €2.9b | €1.0b | €61.2m | 28.1x | 47.5x | 2.8x |
| Tue, 30 Sep 2025 | €3.1b | €1.0b | €63.4m | 28.3x | 48.4x | 3x |
| Thu, 28 Aug 2025 | €2.9b | €1.0b | €63.6m | 30.4x | 45.5x | 2.8x |
| Sat, 26 Jul 2025 | €3.1b | €1.0b | €72.3m | 38.9x | 43.4x | 3x |
| Mon, 23 Jun 2025 | €2.9b | €1.0b | €75.0m | 34.1x | 38.3x | 2.8x |
| Wed, 21 May 2025 | €3.0b | €1.0b | €75.0m | 30.8x | 39.6x | 2.8x |
| Fri, 18 Apr 2025 | €3.2b | €1.1b | €78.9m | 38.3x | 40.5x | 2.9x |
| Sun, 16 Mar 2025 | €3.5b | €1.1b | €79.3m | 38.5x | 43.9x | 3.1x |
| Tue, 11 Feb 2025 | €3.4b | €1.1b | €41.1m | 34.8x | 83.1x | 3x |
| Thu, 09 Jan 2025 | €3.2b | €1.1b | €40.8m | 35.3x | 78.1x | 2.8x |
| Sat, 07 Dec 2024 | €3.2b | €1.1b | €40.8m | 36x | 78.9x | 2.8x |
| Mon, 04 Nov 2024 | €3.1b | €1.1b | €39.1m | 28.2x | 80.4x | 2.8x |
| Wed, 02 Oct 2024 | €3.8b | €1.1b | €40.7m | 30.6x | 94.5x | 3.4x |
| Fri, 30 Aug 2024 | €3.9b | €1.1b | €41.4m | 27.4x | 94.8x | 3.5x |
| Sun, 28 Jul 2024 | €3.7b | €1.1b | €32.1m | 26.2x | 116.3x | 3.3x |
| Tue, 25 Jun 2024 | €3.8b | €1.1b | €30.6m | 21.8x | 123.7x | 3.3x |
| Thu, 23 May 2024 | €3.8b | €1.1b | €27.4m | 21.7x | 138.4x | 3.3x |
| Sat, 20 Apr 2024 | €3.3b | €1.1b | €21.9m | 20.1x | 151.9x | 2.9x |
| Mon, 18 Mar 2024 | €3.5b | €1.1b | €21.9m | 21.8x | 158.6x | 3.1x |
| Wed, 14 Feb 2024 | €3.3b | €1.1b | €27.3m | 24.3x | 120x | 2.9x |
| Fri, 12 Jan 2024 | €3.8b | €1.3b | €13.6m | 13.9x | 279.1x | 2.9x |
| Sun, 10 Dec 2023 | €3.6b | €1.3b | €13.6m | 12.7x | 267.1x | 2.8x |
| Tue, 07 Nov 2023 | €3.4b | €1.3b | €16.9m | 12x | 202.9x | 2.6x |
| Thu, 05 Oct 2023 | €3.3b | €1.3b | €20.4m | 17.4x | 160.1x | 2.6x |
| Sat, 02 Sep 2023 | €3.6b | €1.3b | €21.4m | 18.4x | 169x | 2.8x |
| Mon, 31 Jul 2023 | €4.1b | €1.3b | €29.2m | 23.6x | 140.7x | 3.2x |
Price to Earnings Ratio
140.7x
Current Industry PE
- Investors are pessimistic on the Finnish 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 28.6x which is lower than its 3-year average PE of 94.7x.
- The 3-year average PS ratio of 3.0x is higher than the industry's current PS ratio of 2.5x.
Past Earnings Growth
- The earnings for companies in the Software industry have grown 48% per year over the last three years.
- Meanwhile revenues for these companies have declined 5.2% per year.
- This means that less sales are being generated overall, but since cost of doing business is lower, profits have been increasing.
Industry Trends
Which industries have driven the changes within the Finnish Tech industry?
| FI Market | 0.33% | |
| Tech | -4.46% | |
| Software | -7.36% | |
| Systems Software | -5.84% | |
| Application Software | -9.79% | |
Industry PE
- Investors are most optimistic about the Systems Software industry even though it's trading below its 3-year average PE ratio of 69.4x.
- Analysts are expecting annual earnings growth of 24.5%, which is higher than its past year's earnings decline of 2.5% per year.
- Investors are most pessimistic about the Application Software industry, which is trading below its 3-year average of 54.0x.
Forecasted Growth
- Analysts are most optimistic on the Systems Software industry, expecting annual earnings growth of 25% over the next 5 years.
- This is better than its past earnings decline of 2.5% per year.
- In contrast, the Application Software industry is expected to see its earnings grow by 23% 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 | |
|---|---|---|---|---|---|
| LEADD LeadDesk Oyj | €3.67 | 7.0% +€1.4m | -48.5% | PS0.5x | |
| LEMON Lemonsoft Oyj | €4.75 | 1.1% +€889.7k | -35.6% | PE18.3x |
