Mitek Systems (MITK) AI Stock Analysis

• Market Cap: $456.93M
• Dividend Yield: N/A
• Average Volume (3M): 403.08K
• Price to Earnings (P/E): 30.4
• Beta (1Y): 1.12
• Revenue Growth: 6.98%
• EPS Growth: N/A
• Country: US
• Employees: 565
• Sector: Technology
• Sector Strength: 86
• Industry: Software - Application
• EPS (TTM): 0.22
• Shares Outstanding: 45,647,050
• 10 Day Avg. Volume: 448,835
• 30 Day Avg. Volume: 403,082
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.99
• Enterprise Value/Revenue: 2.54
• Enterprise Value/Gross Profit: 2.54
• Enterprise Value/Ebitda: 10.84
• 1Y Price Target: $13.30
• Price Target Upside: 31.68% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 6

• Rating: 78 Outperform
• Price Target: $11.50 ▲(13.86% Upside)

Mitek Systems' strong financial performance and positive earnings call sentiment are the most significant factors contributing to its overall score. The company's robust revenue growth and operational efficiencies provide a solid foundation for future growth. However, the stock's high valuation and technical indicators suggesting a potential short-term pullback slightly temper the overall outlook.

Positive Factors

Earnings

Shares of Mitek Systems Inc. increased 8.8% following better than expected revenue results, indicating strong demand for the company's identity solutions.

Financial Performance

The company reported higher revenue and lower operating expenses, resulting in EBITDA significantly above prior estimates.

Growth Potential

Mitek is making progress on adding several large financial institutions to the platform, indicating strong potential for future growth.

Negative Factors

Debt Management

Mitek ended June with $150M convertible debt due February 2026, which may impact financial flexibility.

Valuation

Valuation multiples are expected to continue lagging behind higher quality peers until more significant topline growth occurs.

Mitek Systems Business Overview & Revenue Model

Company Description

Mitek Systems, Inc. (MITK) is a technology company that specializes in mobile capture and identity verification solutions. Operating primarily in the financial services, insurance, and healthcare sectors, Mitek offers products that enable businesses to automate document verification, streamline customer onboarding, and enhance fraud prevention. Its core offerings include mobile check deposit, identity verification software, and document capture solutions, which leverage advanced computer vision and artificial intelligence technologies.

How the Company Makes Money

Mitek generates revenue primarily through software licensing and subscription fees for its mobile capture and identity verification solutions. The company offers its products as a SaaS (Software as a Service) model, allowing clients to pay on a subscription basis, which provides a recurring revenue stream. Key revenue streams include transaction fees charged for each successful document verification or mobile deposit processed through its platform. Additionally, Mitek has formed significant partnerships with financial institutions and technology providers, expanding its customer base and enhancing its market reach, which contributes to its earnings. The company may also generate revenue through consulting services and implementation fees related to its software solutions.

Mitek Systems Financial Statement Overview

Summary

Mitek Systems exhibits strong financial health characterized by robust revenue growth, high profit margins, and effective cash flow management. The company's balance sheet is stable, but growing debt levels warrant attention. Overall, Mitek Systems is well-positioned in the software application industry with a solid financial foundation and growth trajectory.

Income Statement

Mitek Systems has demonstrated strong revenue growth with a notable increase from $101.31M in 2020 to $177.38M in the TTM period. The gross profit margin is robust at 96.2% for TTM, indicating effective cost management. Net profit margin improved to 7.5% from prior periods, showing enhanced profitability. EBIT and EBITDA margins are strong at 9.4% and 18.6% respectively, reflecting efficient operational management. Consistent revenue growth and improving margins contribute positively to the income statement score.

Balance Sheet

The company maintains a solid balance sheet with a debt-to-equity ratio of 0.68 in the TTM period, showing manageable leverage. The return on equity has improved to 6.1%, reflecting enhanced shareholder returns. The equity ratio stands at 51.8%, indicating a strong equity position relative to total assets. However, a significant increase in total debt over the years requires cautious monitoring.

Cash Flow

Operating cash flow has shown a positive trend, increasing to $48.39M in the TTM period. Free cash flow grew by 55.7% compared to the prior period, demonstrating strong cash generation capabilities. The operating cash flow to net income ratio is robust, indicating efficient cash conversion from operations. However, the financing cash flow is negative, suggesting outflows primarily due to debt repayments.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	178.13M	172.08M	172.55M	144.80M	119.80M	101.31M
Gross Profit	177.81M	171.77M	149.60M	124.80M	105.26M	88.12M
EBITDA	41.72M	26.96M	39.62M	28.08M	24.07M	18.15M
Net Income	15.51M	3.28M	8.03M	3.69M	7.98M	7.81M
Balance Sheet
Total Assets	446.71M	413.75M	405.38M	364.48M	419.28M	169.15M
Cash, Cash Equivalents and Short-Term Investments	167.07M	130.34M	133.61M	90.33M	179.37M	60.02M
Total Debt	152.73M	151.34M	141.59M	135.49M	130.25M	7.85M
Total Liabilities	209.12M	198.95M	200.19M	193.50M	226.02M	36.91M
Stockholders Equity	237.59M	214.80M	205.19M	170.32M	193.26M	132.24M
Cash Flow
Free Cash Flow	55.80M	30.25M	30.55M	25.23M	35.95M	23.32M
Operating Cash Flow	56.98M	31.69M	31.59M	26.35M	37.34M	24.12M
Investing Cash Flow	726.00K	28.75M	-6.78M	1.70M	-170.49M	-24.71M
Financing Cash Flow	-16.11M	-25.88M	1.70M	-21.14M	143.68M	3.40M

Mitek Systems Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 10.10
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MITK, the sentiment is Positive. The current price of 10.1 is above the 20-day moving average (MA) of 9.72, above the 50-day MA of 9.72, and above the 200-day MA of 9.49, indicating a bullish trend. The MACD of 0.20 indicates Negative momentum. The RSI at 56.23 is Neutral, neither overbought nor oversold. The STOCH value of 44.04 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MITK.

Mitek Systems Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MITK	78 Outperform	$456.93M	30.38	6.94%	―	6.98%	―
MLNK	63 Neutral	$1.47B	―	-5.41%	―	5.96%	50.29%
Sector *	61 Neutral	$35.62B	8.22	-10.94%	1.88%	8.86%	-10.36%
OPFI	61 Neutral	$936.79M	50.49	-209.49%	―	6.79%	-593.75%
FRGE	58 Neutral	$260.47M	―	-28.14%	―	14.78%	21.87%
SMRT	58 Neutral	$270.82M	―	-25.48%	―	-28.45%	-224.48%
BMBL	50 Neutral	$670.87M	―	-75.71%	―	-5.06%	-2318.18%

Mitek Systems Corporate Events

Mitek Systems Updates Investor Presentation June 2025

On June 3, 2025, Mitek Systems, Inc. updated its investor presentation, which is now available on their website. The company clarified that the furnishing of these materials is not required by Regulation FD or other securities laws, and they do not assume any obligation to update the information in the future.