XTRA:SJJ

Stock Analysis Report

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Executive Summary

Serviceware SE provides a portfolio of software solutions for the digitalization and automation of service processes in Germany, Austria, Switzerland, and internationally. More Details


Snowflake Analysis

Reasonable growth potential and fair value.


Similar Companies

Share Price & News

How has Serviceware's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-1.5%

SJJ

-6.1%

DE Software

-1.9%

DE Market


1 Year Return

-14.3%

SJJ

9.0%

DE Software

0.2%

DE Market

Return vs Industry: SJJ underperformed the German Software industry which returned 9% over the past year.

Return vs Market: SJJ underperformed the German Market which returned 0.1% over the past year.


Shareholder returns

SJJIndustryMarket
7 Day-1.5%-6.1%-1.9%
30 Day-9.8%-5.2%0.8%
90 Day0%-7.4%-0.5%
1 Year-14.3%-14.3%10.5%9.0%3.4%0.2%
3 Yearn/a33.8%28.4%-0.2%-9.0%
5 Yearn/a90.3%77.2%21.4%4.0%

Price Volatility Vs. Market

How volatile is Serviceware's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Serviceware undervalued compared to its fair value and its price relative to the market?

48.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SJJ (€12.9) is trading below our estimate of fair value (€25.17)

Significantly Below Fair Value: SJJ is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: SJJ is unprofitable, so we can't compare its PE Ratio to the DE Software industry average.

PE vs Market: SJJ is unprofitable, so we can't compare its PE Ratio to the German market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate SJJ's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: SJJ is good value based on its PB Ratio (2.4x) compared to the DE Software industry average (3.4x).


Next Steps

Future Growth

How is Serviceware forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

116.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SJJ is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (0.2%).

Earnings vs Market: SJJ is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: SJJ's is expected to become profitable in the next 3 years.

Revenue vs Market: SJJ's revenue (15.3% per year) is forecast to grow faster than the German market (6% per year).

High Growth Revenue: SJJ's revenue (15.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SJJ's Return on Equity is forecast to be low in 3 years time (1.7%).


Next Steps

Past Performance

How has Serviceware performed over the past 5 years?

-63.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SJJ is currently unprofitable.

Growing Profit Margin: SJJ is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: SJJ is unprofitable, and losses have increased over the past 5 years at a rate of 63.1% per year.

Accelerating Growth: Unable to compare SJJ's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: SJJ is unprofitable, making it difficult to compare its past year earnings growth to the Software industry (37.9%).


Return on Equity

High ROE: SJJ has a negative Return on Equity (-4.15%), as it is currently unprofitable.


Next Steps

Financial Health

How is Serviceware's financial position?


Financial Position Analysis

Short Term Liabilities: SJJ's short term assets (€67.9M) exceed its short term liabilities (€34.6M).

Long Term Liabilities: SJJ's short term assets (€67.9M) exceed its long term liabilities (€17.7M).


Debt to Equity History and Analysis

Debt Level: SJJ's debt to equity ratio (13.4%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if SJJ's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: SJJ's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: Insufficient data to determine if SJJ's interest payments on its debt are well covered by EBIT.


Balance Sheet


Next Steps

Dividend

What is Serviceware current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate SJJ's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate SJJ's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if SJJ's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if SJJ's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: SJJ is not paying a notable dividend for the German market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of SJJ's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.8yrs

Average management tenure


CEO

Dirk Martin (48 yo)

2.75yrs

Tenure

Mr. Dirk K. Martin serves as the Chief Executive Officer of Serviceware SE since January 30, 2018 and has been its Managing Director since 31 January 2018. Mr. Martin studied industrial engineering at the ...


Leadership Team

NamePositionTenureCompensationOwnership
Dirk Martin
CEO & MD2.75yrsno data31.4%
€ 42.5m
Harald Popp
Deputy Chairman of the Administrative Board & CFOno datano data31.4%
€ 42.5m
Alexander Becker
COO & MDno datano datano data
Ronnie Wilson
Executive Vice President of UK2.17yrsno datano data

2.8yrs

Average Tenure

48yo

Average Age

Experienced Management: SJJ's management team is considered experienced (2.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

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 not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Serviceware SE's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Serviceware SE
  • Ticker: SJJ
  • Exchange: XTRA
  • Founded: 1998
  • Industry: Application Software
  • Sector: Software
  • Market Cap: €135.450m
  • Shares outstanding: 10.50m
  • Website: https://serviceware-se.com

Number of Employees


Location

  • Serviceware SE
  • Carl-Zeiss-Strasse 16
  • Bad Camberg
  • Hessen
  • 65520
  • Germany

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SJJXTRA (XETRA Trading Platform)YesOrdinary Bearer SharesDEEURApr 2018
SJJDB (Deutsche Boerse AG)YesOrdinary Bearer SharesDEEURApr 2018
SJJDBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary Bearer SharesGBEURApr 2018

Biography

Serviceware SE provides a portfolio of software solutions for the digitalization and automation of service processes in Germany, Austria, Switzerland, and internationally. The company offers enterprise ser ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/23 22:16
End of Day Share Price2020/10/23 00:00
Earnings2020/05/31
Annual Earnings2019/11/30


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.