Pyramid AG (M3BK) AI Stock Analysis

• Market Cap: €25.37M
• Dividend Yield: N/A
• Average Volume (3M): 9.77K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.15
• Revenue Growth: -10.18%
• EPS Growth: 39.32%
• Country: DE
• Employees: 393
• Sector: Financial
• Sector Strength: 70
• Industry: Asset Management
• EPS (TTM): N/A
• Shares Outstanding: 23,068,174
• 10 Day Avg. Volume: 26,191
• 30 Day Avg. Volume: 9,771
• PEG Ratio: 0.19
• Price to Book (P/B): 0.50
• Price to Sales (P/S): 0.31
• P/FCF Ratio: -2.12
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 51 Neutral
• Price Target: €1.00 ▼(-13.04% Downside)

Pyramid AG's overall stock score is primarily impacted by its financial performance, which is hindered by profitability and cash flow issues despite strong revenue growth. Technical analysis provides some positive signals with short-term bullish momentum, but valuation concerns due to negative earnings and lack of dividends weigh heavily on the stock's attractiveness.

Positive Factors

Revenue Growth

Strong revenue growth indicates successful market expansion and product adoption, which can enhance long-term business sustainability.

Business Model

The subscription-based model ensures predictable revenue streams, enhancing financial stability and enabling strategic investments.

Strategic Partnerships

Collaborations with industry players can lead to joint revenue opportunities and strengthen competitive positioning.

Negative Factors

Profitability Issues

Negative profitability margins suggest challenges in cost management, which could hinder long-term financial health and growth potential.

Cash Flow Challenges

Weak cash flow generation limits the company's ability to invest in growth opportunities and maintain financial flexibility.

Negative Return on Equity

A negative return on equity highlights inefficiencies in utilizing capital, which can affect investor confidence and long-term growth.

Pyramid AG Business Overview & Revenue Model

Company Description

Pyramid AG (M3BK) is a dynamic technology company specializing in the development and provision of innovative software solutions and services for various industries, including finance, healthcare, and logistics. The company focuses on creating cutting-edge applications that enhance operational efficiency, streamline processes, and improve user experiences across its client base. With a commitment to leveraging advanced technologies such as artificial intelligence and cloud computing, Pyramid AG aims to deliver tailored solutions that meet the evolving demands of its customers.

How the Company Makes Money

Pyramid AG generates revenue primarily through the sale of software licenses, subscription services, and consulting fees. The company offers a range of software products that cater to different sectors, allowing clients to choose solutions that best fit their operational needs. Recurring revenue is bolstered by subscription-based models for cloud services, which provide steady cash flow. Additionally, Pyramid AG engages in strategic partnerships with other tech firms and industry players, enhancing its market reach and credibility while also enabling collaborative projects that can lead to joint revenue opportunities. The company’s consulting services, which help clients integrate and optimize their software solutions, also contribute significantly to its earnings.

Pyramid AG Financial Statement Overview

Summary

Pyramid AG is experiencing strong revenue growth, but profitability and cash flow issues are significant concerns. The balance sheet remains stable, with a reasonable debt-to-equity ratio, but the negative return on equity and cash flow challenges indicate underlying financial weaknesses. The company must focus on improving profitability and cash flow management to enhance its financial health.

Income Statement

Pyramid AG has shown significant revenue growth, with a 37.08% increase in the latest year. However, the company is struggling with profitability, as indicated by negative net profit and EBIT margins. The gross profit margin is relatively low at 19.90%, suggesting challenges in managing costs. Overall, while revenue growth is a positive sign, the lack of profitability is a concern.

Balance Sheet

The company's debt-to-equity ratio is moderate at 0.47, indicating a balanced approach to leveraging. However, the return on equity is negative, reflecting the company's inability to generate profits from shareholders' equity. The equity ratio is strong, suggesting a solid asset base relative to liabilities. The balance sheet shows stability but highlights the need for improved profitability.

Cash Flow

Pyramid AG's cash flow situation is concerning, with negative operating and free cash flows. The free cash flow growth rate is significantly negative, indicating deteriorating cash generation capabilities. The operating cash flow to net income ratio is also negative, further highlighting cash flow challenges. The company needs to address cash flow issues to ensure financial stability.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	68.29M	76.02M	91.86M	428.69K	1.31M
Gross Profit	13.59M	28.39M	1.14M	428.69K	1.15M
EBITDA	3.37M	4.93M	5.06M	-2.27M	-1.18M
Net Income	-3.15M	-4.98M	-4.94M	-2.33M	-1.18M
Balance Sheet
Total Assets	80.42M	71.95M	87.61M	47.88M	9.11M
Cash, Cash Equivalents and Short-Term Investments	5.09M	7.70M	6.19M	8.06M	6.57M
Total Debt	19.87M	10.97M	15.41M	0.00	0.00
Total Liabilities	36.76M	28.69M	49.40M	6.13M	1.07M
Stockholders Equity	42.29M	41.84M	36.63M	41.75M	8.04M
Cash Flow
Free Cash Flow	-10.07M	7.07M	-266.72K	1.22K	1.61K
Operating Cash Flow	-9.53M	8.64M	-73.32K	1.22K	1.61K
Investing Cash Flow	-897.40K	-1.68M	-802.69K	0.00	0.00
Financing Cash Flow	6.64M	-5.59M	6.89M	0.00	0.00

Pyramid AG Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1.15
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:M3BK, the sentiment is Neutral. The current price of 1.15 is above the 20-day moving average (MA) of 1.08, above the 50-day MA of 0.98, and above the 200-day MA of 0.88, indicating a neutral trend. The MACD of 0.03 indicates Positive momentum. The RSI at 48.41 is Neutral, neither overbought nor oversold. The STOCH value of 23.01 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for DE:M3BK.

Pyramid AG Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
M3BK	51 Neutral	€25.37M	-8.06	-7.48%	―	-10.18%	39.32%
A7A	48 Neutral	€129.76M	―	―	―	―	―