Stock Analysis

Mensch und Maschine Software SE (ETR:MUM) Analysts Just Slashed Next Year's Revenue Estimates By 11%

XTRA:MUM
Source: Shutterstock

One thing we could say about the analysts on Mensch und Maschine Software SE (ETR:MUM) - they aren't optimistic, having just made a major negative revision to their near-term (statutory) forecasts for the organization. This report focused on revenue estimates, and it looks as though the consensus view of the business has become substantially more conservative.

Following the latest downgrade, the three analysts covering Mensch und Maschine Software provided consensus estimates of €245m revenue in 2025, which would reflect a disturbing 30% decline on its sales over the past 12 months. Prior to the latest estimates, the analysts were forecasting revenues of €276m in 2025. It looks like forecasts have become a fair bit less optimistic on Mensch und Maschine Software, given the substantial drop in revenue estimates.

Check out our latest analysis for Mensch und Maschine Software

earnings-and-revenue-growth
XTRA:MUM Earnings and Revenue Growth February 21st 2025

Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. We would highlight that sales are expected to reverse, with a forecast 25% annualised revenue decline to the end of 2025. That is a notable change from historical growth of 8.3% over the last five years. By contrast, our data suggests that other companies (with analyst coverage) in the same industry are forecast to see their revenue grow 11% annually for the foreseeable future. It's pretty clear that Mensch und Maschine Software's revenues are expected to perform substantially worse than the wider industry.

Advertisement

The Bottom Line

The most important thing to take away is that analysts cut their revenue estimates for next year. They're also anticipating slower revenue growth than the wider market. Overall, given the drastic downgrade to next year's forecasts, we'd be feeling a little more wary of Mensch und Maschine Software going forwards.

Thirsting for more data? At least one of Mensch und Maschine Software's three analysts has provided estimates out to 2027, which can be seen for free on our platform here.

Another way to search for interesting companies that could be reaching an inflection point is to track whether management are buying or selling, with our free list of growing companies backed by insiders.

New: Manage All Your Stock Portfolios in One Place

We've created the ultimate portfolio companion for stock investors, and it's free.

• Connect an unlimited number of Portfolios and see your total in one currency
• Be alerted to new Warning Signs or Risks via email or mobile
• Track the Fair Value of your stocks

Try a Demo Portfolio for Free

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

About XTRA:MUM

Mensch und Maschine Software

Provides computer aided design, manufacturing, and engineering (CAD/CAM/CAE), product data management, and building information modeling/management solutions in Germany and internationally.

Flawless balance sheet with proven track record and pays a dividend.

Advertisement