XTRA:MUM

Stock Analysis Report

Mensch und Maschine Software

Executive Summary

Mensch und Maschine Software SE provides computer aided design and manufacturing (CAD/CAM), product data management, and building information modeling/management solutions in Germany and internationally.

Rewards

Earnings are forecast to grow 16.34% per year

Earnings grew by 32.4% over the past year

Risk Analysis

Unstable dividend track record

Highly volatile share price over past 3 months

Shareholders have been diluted in the past year



Snowflake Analysis

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

Share Price & News

How has Mensch und Maschine Software's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: MUM's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-1.3%

MUM

1.8%

DE Software

0.07%

DE Market


1 Year Return

70.1%

MUM

36.2%

DE Software

14.8%

DE Market

Return vs Industry: MUM exceeded the German Software industry which returned 39.3% over the past year.

Return vs Market: MUM exceeded the German Market which returned 17.1% over the past year.


Shareholder returns

MUMIndustryMarket
7 Day-1.3%1.8%0.07%
30 Day-0.7%4.6%1.4%
90 Day31.0%7.6%6.1%
1 Year73.3%70.1%38.0%36.2%18.4%14.8%
3 Year252.3%231.5%61.7%55.2%17.4%7.0%
5 Year692.3%610.3%144.7%127.3%27.9%10.4%

Price Volatility Vs. Market

How volatile is Mensch und Maschine Software's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Mensch und Maschine Software undervalued compared to its fair value and its price relative to the market?

50.58x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: MUM (€43.1) is trading above our estimate of fair value (€42.37)

Significantly Below Fair Value: MUM is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: MUM is poor value based on its PE Ratio (49.1x) compared to the Software industry average (41.3x).

PE vs Market: MUM is poor value based on its PE Ratio (49.1x) compared to the German market (20.6x).


Price to Earnings Growth Ratio

PEG Ratio: MUM is poor value based on its PEG Ratio (3x)


Price to Book Ratio

PB vs Industry: MUM is overvalued based on its PB Ratio (11.9x) compared to the DE Software industry average (3.1x).


Next Steps

Future Growth

How is Mensch und Maschine Software forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

16.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MUM's forecast earnings growth (16.3% per year) is above the savings rate (-0.4%).

Earnings vs Market: MUM's earnings (16.3% per year) are forecast to grow faster than the German market (13.2% per year).

High Growth Earnings: MUM's earnings are forecast to grow, but not significantly.

Revenue vs Market: MUM's revenue (10.1% per year) is forecast to grow faster than the German market (4.8% per year).

High Growth Revenue: MUM's revenue (10.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: MUM's Return on Equity is forecast to be high in 3 years time (29.7%)


Next Steps

Past Performance

How has Mensch und Maschine Software performed over the past 5 years?

29.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MUM has high quality earnings.

Growing Profit Margin: MUM's current net profit margins (6.5%) are higher than last year (6.2%).


Past Earnings Growth Analysis

Earnings Trend: MUM's earnings have grown significantly by 29.7% per year over the past 5 years.

Accelerating Growth: MUM's earnings growth over the past year (32.4%) exceeds its 5-year average (29.7% per year).

Earnings vs Industry: MUM earnings growth over the past year (32.4%) exceeded the Software industry 14.6%.


Return on Equity

High ROE: MUM's Return on Equity (24.6%) is considered high.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Mensch und Maschine Software's financial position?


Financial Position Analysis

Short Term Liabilities: MUM's short term assets (€46.6M) exceed its short term liabilities (€42.5M).

Long Term Liabilities: MUM's short term assets (€46.6M) exceed its long term liabilities (€28.7M).


Debt to Equity History and Analysis

Debt Level: MUM's debt to equity ratio (38.4%) is considered satisfactory.

Reducing Debt: MUM's debt to equity ratio has reduced from 110.8% to 38.4% over the past 5 years.

Debt Coverage: MUM's debt is well covered by operating cash flow (95.1%).

Interest Coverage: MUM earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: MUM has a low level of unsold assets or inventory.

Debt Coverage by Assets: MUM's debt is covered by short term assets (assets are 1.8x debt).


Next Steps

Dividend

What is Mensch und Maschine Software's current dividend yield, its reliability and sustainability?

1.46%

Current Dividend Yield


Dividend Yield vs Market

company1.5%marketbottom25%1.4%markettop25%3.5%industryaverage1.2%forecastin3Years2.3%

Current dividend yield vs market & industry

Notable Dividend: MUM's dividend (1.51%) is higher than the bottom 25% of dividend payers in the German market (1.38%).

High Dividend: MUM's dividend (1.51%) is low compared to the top 25% of dividend payers in the German market (3.53%).


Stability and Growth of Payments

Stable Dividend: MUM's dividend payments have been volatile in the past 10 years.

Growing Dividend: MUM's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (74%), MUM's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: MUM's dividends in 3 years are forecast to be covered by earnings (73.8% payout ratio).


Next Steps

Management

What is the CEO of Mensch und Maschine Software's salary, the management and board of directors tenure and is there insider trading?

0.9yrs

Average board tenure


CEO

Adi Drotleff 0

0yrs

Tenure

€236,000

Compensation

Mr. Adi Drotleff founded Mensch und Maschine Software SE and has been its Chairman of the Administrative Board since May 2006 and serves as its Chief Executive Officer and Member of Board of Managing Direc ...


Board Age and Tenure

0.9yrs

Average Tenure

Experienced Board: MUM's board of directors are not considered experienced ( 0.9 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 2.2%.


Management Team

  • Adi Drotleff

    Founder

    • Compensation: €236.00k
  • Christoph Aschenbrenner

    COO & Member of Board of Managing Directors

    • Tenure: 5.5yrs
  • Markus Pech (45yo)

    CFO & Member of Board of Managing Directors

    • Tenure: 3.8yrs

Board Members

  • Adi Drotleff

    Founder

    • Compensation: €236.00k
  • Heike Lies

    Deputy Chairwoman of Administrative Board

    • Tenure: 0.8yrs
  • Johannes Harl

    Administrative Board Member

    • Tenure: 0.9yrs

Company Information

Mensch und Maschine Software SE's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Mensch und Maschine Software SE
  • Ticker: MUM
  • Exchange: XTRA
  • Founded: 1984
  • Industry: Application Software
  • Sector: Software
  • Market Cap: €726.158m
  • Shares outstanding: 16.35m
  • Website: https://www.mum.de

Number of Employees


Location

  • Mensch und Maschine Software SE
  • Argelsrieder Feld 5
  • Wessling
  • Starnberg
  • Bavaria
  • 82234
  • Germany

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MUMDB (Deutsche Boerse AG)YesBearer Common StockDEEURAug 1997
MUMXTRA (XETRA Trading Platform)YesBearer Common StockDEEURAug 1997
0RS2LSE (London Stock Exchange)YesBearer Common StockGBEURAug 1997
MUMDBATS-CHIXE (BATS 'Chi-X Europe')YesBearer Common StockGBEURAug 1997

Biography

Mensch und Maschine Software SE provides computer aided design and manufacturing (CAD/CAM), product data management, and building information modeling/management solutions in Germany and internationally. It operates in two segments, VAR Business and M+M Software. The VAR Business segment sells CAD software to end users, as well as provides associated services. The M+M Software segments engages in the development of CAD/CAM software. The company offers software solutions that are used for the process control of milling, drilling, and turning in various industries, such as mechanical engineering; tool, mold, and die making; automotive and aerospace industry; medical technology; and toy industry, as well as watch, clock, and jewelry manufacturing. Mensch und Maschine Software SE was founded in 1984 and is headquartered in Starnberg, Germany. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/01/19 20:58
End of Day Share Price2020/01/17 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.