Fabasoft AG (FAA) AI Stock Analysis

• Market Cap: €165.00M
• Dividend Yield: 0.67%
• Average Volume (3M): 18.00K
• Price to Earnings (P/E): 17.8
• Beta (1Y): 0.58
• Revenue Growth: 4.70%
• EPS Growth: -0.02%
• Country: DE
• Employees: 501
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 0.29
• Shares Outstanding: 11,000,000
• 10 Day Avg. Volume: 40,133
• 30 Day Avg. Volume: 17,998
• PEG Ratio: -5.70
• Price to Book (P/B): 5.36
• Price to Sales (P/S): 2.09
• P/FCF Ratio: 27.47
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 0.69
• Revenue Forecast (FY): €81.27M

• Rating: 73 Outperform
• Price Target: €18.00 ▲(13.92% Upside)

Fabasoft AG's strong financial performance, characterized by robust revenue growth and efficient operations, is the primary driver of the stock score. Technical analysis indicates a neutral market position, while valuation metrics suggest a balanced outlook. The absence of earnings call and corporate events data limits further insights.

Positive Factors

Revenue Growth

The high revenue growth rate indicates strong demand for Fabasoft's software solutions, suggesting a robust market position and potential for continued expansion in the ECM sector.

Balance Sheet Health

A low debt-to-equity ratio indicates prudent financial management, providing Fabasoft with the flexibility to invest in growth opportunities without excessive leverage.

Operational Efficiency

High margins demonstrate Fabasoft's ability to manage costs effectively, enhancing profitability and providing a competitive edge in the software industry.

Negative Factors

Free Cash Flow Decline

A decline in free cash flow growth may impact Fabasoft's ability to fund operations and investments, potentially limiting future financial flexibility and growth initiatives.

Net Profit Margin

A relatively low net profit margin indicates challenges in converting revenue into net income, which could affect long-term profitability and shareholder returns.

Equity Ratio

A moderate equity ratio indicates that Fabasoft could strengthen its capital structure by increasing equity, enhancing financial stability and reducing reliance on debt.

Fabasoft AG Business Overview & Revenue Model

Company Description

Fabasoft AG, together with its subsidiaries, manufactures software products, and provides cloud services to public and private sectors in Austria, Germany, Switzerland, and internationally. The company offers Fabasoft eGov-Suite, an electronic records management system for the public sector; Fabasoft Folio, an on-premises workflow and enterprise content management system for organization; Mindbreeze InSpire that provides appliances and cloud services for information insights, knowledge management, and artificial intelligence; Fabasoft Approve for the management of technical data and documents; Fabasoft Business Process Cloud to digitize cross-company business processes; Xpublisher manages standardized contents for automated multi-channel publishing; and Fabasoft Contracts, a cloud-based contract management software, as well as Fabasoft Secomo that enables handling of signing processes and to protect corporate data. It also provides Fabasoft app.telemetry, a tool for monitoring the performance and response times of applications; Fabasoft app.ducx, a use case based development environment for business applications; and Fabasoft app.test, a tool for business applications. The company was founded in 1988 and is headquartered in Linz, Austria.

How the Company Makes Money

Fabasoft AG generates revenue through a combination of subscription-based models and licensing fees for its cloud services and software solutions. The primary revenue stream comes from recurring subscriptions to its Fabasoft Cloud platform, where clients pay for access to storage, collaboration tools, and compliance features. Additionally, Fabasoft earns income from one-time licensing fees for its on-premise software installations and from professional services, including consulting, implementation, and support. The company has also established partnerships with various technology providers and enterprises, which can enhance its market reach and contribute to its revenue through integrated solutions and joint offerings.

Fabasoft AG Financial Statement Overview

Summary

Fabasoft AG exhibits strong financial performance with significant revenue growth and efficient operations. The balance sheet is solid with low leverage and high returns on equity. However, the decline in free cash flow growth warrants attention.

Income Statement

Fabasoft AG demonstrates strong revenue growth with a TTM growth rate of 87.7%, indicating robust demand for its software solutions. The gross profit margin of 48.6% and EBIT margin of 15.5% reflect efficient cost management and operational effectiveness. However, the net profit margin of 10.1% suggests room for improvement in translating revenue into net income.

Balance Sheet

The company's balance sheet is stable with a low debt-to-equity ratio of 0.18, indicating prudent financial leverage. The return on equity of 27.7% is impressive, showcasing effective use of shareholder funds to generate profits. The equity ratio of 38.8% suggests a solid capital structure, though there is potential to increase equity relative to total assets.

Cash Flow

Fabasoft AG's cash flow statement shows a decline in free cash flow growth by 12.1%, which could be a concern for future liquidity. The operating cash flow to net income ratio of 2.44 indicates strong cash generation relative to net income, while the free cash flow to net income ratio of 0.29 suggests moderate conversion of profits into free cash flow.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	87.61M	86.84M	80.95M	69.23M	58.27M	55.09M
Gross Profit	44.55M	44.17M	32.46M	35.26M	31.34M	30.98M
EBITDA	21.64M	21.06M	21.38M	16.80M	17.65M	19.54M
Net Income	9.21M	8.80M	9.07M	6.29M	7.42M	8.82M
Balance Sheet
Total Assets	91.96M	93.26M	76.33M	70.37M	69.70M	76.60M
Cash, Cash Equivalents and Short-Term Investments	32.28M	34.28M	25.07M	26.56M	35.82M	47.42M
Total Debt	19.19M	16.74M	7.60M	7.49M	5.90M	5.42M
Total Liabilities	54.67M	57.16M	45.69M	43.66M	42.45M	37.35M
Stockholders Equity	35.70M	33.77M	28.00M	24.01M	25.39M	37.00M
Cash Flow
Free Cash Flow	5.80M	6.59M	6.14M	2.88M	9.90M	16.48M
Operating Cash Flow	22.49M	23.09M	19.48M	7.03M	16.65M	21.01M
Investing Cash Flow	-16.66M	-16.88M	-13.24M	-4.64M	-7.27M	-4.30M
Financing Cash Flow	3.06M	2.92M	-7.82M	-11.63M	-22.05M	-3.32M

Fabasoft AG Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 15.80
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:FAA, the sentiment is Negative. The current price of 15.8 is above the 20-day moving average (MA) of 15.36, above the 50-day MA of 15.75, and below the 200-day MA of 16.46, indicating a bearish trend. The MACD of -0.30 indicates Positive momentum. The RSI at 42.61 is Neutral, neither overbought nor oversold. The STOCH value of 75.27 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DE:FAA.

Fabasoft AG Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FAA	73 Outperform	€165.00M	17.81	25.57%	0.67%	4.70%	-0.02%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
PSAN	53 Neutral	€706.91M	-30.39	-29.16%	―	9.19%	-37.73%
CSH	52 Neutral	€58.24M	-12.28	-12.08%	0.58%	7.67%	-255.16%