Mensch und Maschine Software SE (MUM) AI Stock Analysis

• Market Cap: €784.38M
• Dividend Yield: 3.97%
• Average Volume (3M): 18.67K
• Price to Earnings (P/E): 26.1
• Beta (1Y): 0.48
• Revenue Growth: -16.41%
• EPS Growth: -1.83%
• Country: DE
• Employees: 1,194
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 0.43
• Shares Outstanding: 17,149,052
• 10 Day Avg. Volume: 17,932
• 30 Day Avg. Volume: 18,672
• PEG Ratio: 6.31
• Price to Book (P/B): 9.08
• Price to Sales (P/S): 2.74
• P/FCF Ratio: 17.19
• 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: €60.00
• Price Target Upside: 28.76% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 58 Neutral
• Price Target: €53.00 ▲(13.73% Upside)

Mensch und Maschine Software SE's overall stock score is primarily influenced by its strong financial performance, despite recent revenue and cash flow declines. The technical analysis indicates bearish momentum, which weighs negatively on the score. The valuation suggests the stock might be overvalued, but the dividend yield adds some appeal.

Mensch und Maschine Software SE Business Overview & Revenue Model

Company Description

Mensch und Maschine Software SE provides computer aided design, manufacturing, and engineering (CAD/CAM/CAE), 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 develops CAD/CAM/CAE 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; process control; 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.

How the Company Makes Money

Mensch und Maschine Software SE makes money primarily through the sale of software licenses, maintenance contracts, and professional services. The company's revenue model is diversified into two main segments: proprietary software development and third-party software distribution. The proprietary segment includes sales of their own software products, which are often tailored to specific industry needs, providing MUM with higher margins. The distribution segment involves partnerships with major software vendors like Autodesk, where MUM acts as a reseller, earning commissions or margins on the sale of these third-party products. Additionally, the company generates revenue from consulting, training, and support services, which are essential for clients to maximize the value of their software investments. Significant partnerships with industry leaders and a strong customer base in Europe further bolster MUM's revenue streams.

Mensch und Maschine Software SE Financial Statement Overview

Summary

Mensch und Maschine Software SE presents a strong financial performance with steady revenue growth and robust profitability. The balance sheet is well-managed with low leverage, and cash flows indicate efficient cash management. Overall, the company is well-positioned for continued success in the software application industry.

Income Statement

The company demonstrates strong financials with a consistent increase in revenue and profitability over the years. The Gross Profit Margin is healthy at approximately 53.6% in 2024, with a Net Profit Margin around 9.4%, indicating effective cost management. The EBIT Margin is solid at 14.3%, and the EBITDA Margin stands at 17.3%, both reflecting strong operational efficiency. Revenue growth from 2023 to 2024 is modest but positive at 1.1%, showing stable growth in a competitive industry.

Balance Sheet

Mensch und Maschine Software SE exhibits a solid balance sheet with a Debt-to-Equity Ratio of 0.19, indicating low leverage and financial stability. The Return on Equity is robust at 30.9%, showcasing excellent profitability relative to shareholder equity. The Equity Ratio is 46.5%, reflecting a balanced capital structure with substantial equity backing. Overall, the company maintains a strong position with manageable liabilities and increasing equity.

Cash Flow

The cash flow statement highlights a healthy cash generation capacity, with Operating Cash Flow outpacing Net Income, resulting in a ratio of 2.04. Free Cash Flow has grown significantly by 17.8% from 2023 to 2024, demonstrating improved cash efficiency. The Free Cash Flow to Net Income Ratio is 1.71, indicating strong cash conversion from profits. Overall, the company shows excellent liquidity and the ability to fund its operations and investments internally.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	270.74M	325.84M	322.31M	320.48M	266.16M	243.98M
Gross Profit	174.37M	174.59M	168.53M	161.14M	138.42M	127.96M
EBITDA	52.62M	56.29M	55.91M	51.80M	43.72M	39.34M
Net Income	30.04M	30.49M	28.87M	26.01M	21.30M	18.71M
Balance Sheet
Total Assets	192.58M	211.89M	187.20M	187.45M	160.79M	154.73M
Cash, Cash Equivalents and Short-Term Investments	27.37M	43.00M	24.87M	24.37M	20.00M	15.98M
Total Debt	33.43M	19.13M	19.20M	37.86M	23.41M	30.53M
Total Liabilities	106.18M	106.98M	87.44M	101.69M	67.99M	74.57M
Stockholders Equity	80.00M	98.46M	92.85M	78.69M	86.33M	73.81M
Cash Flow
Free Cash Flow	34.29M	52.02M	44.16M	33.35M	31.60M	29.44M
Operating Cash Flow	45.62M	62.32M	50.59M	39.05M	36.91M	33.73M
Investing Cash Flow	-11.14M	-10.93M	-7.21M	-6.12M	-8.26M	-5.91M
Financing Cash Flow	-42.55M	-33.54M	-42.97M	-28.41M	-25.02M	-24.54M

Mensch und Maschine Software SE Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 46.60
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:MUM, the sentiment is Negative. The current price of 46.6 is below the 20-day moving average (MA) of 47.79, below the 50-day MA of 50.40, and below the 200-day MA of 51.28, indicating a bearish trend. The MACD of -1.33 indicates Negative momentum. The RSI at 39.06 is Neutral, neither overbought nor oversold. The STOCH value of 35.35 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DE:MUM.

Mensch und Maschine Software SE Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IVU	69 Neutral	369.30M	29.67	15.08%	1.33%	11.53%	10.12%
AOF	69 Neutral	1.59B	35.33	56.76%	2.13%	10.61%	12.46%
NEM	68 Neutral	12.17B	64.90	23.22%	0.52%	25.33%	6.58%
MUM	58 Neutral	€784.38M	26.14	35.14%	3.97%	-16.41%	-1.83%
PSAN	51 Neutral	434.18M	2,564.81	0.18%	―	7.04%	0.00%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%