aXichem AB Class A (AXIC.A) AI Stock Analysis

• Market Cap: kr109.36M
• Dividend Yield: N/A
• Average Volume (3M): 26.22K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.85
• Revenue Growth: 114.57%
• EPS Growth: 53.86%
• Country: SE
• Employees: 7
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): -0.15
• Shares Outstanding: 59,114,906
• 10 Day Avg. Volume: 21,219
• 30 Day Avg. Volume: 26,221
• PEG Ratio: 0.06
• Price to Book (P/B): 0.89
• Price to Sales (P/S): 7.31
• P/FCF Ratio: -5.45
• 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): N/A
• Revenue Forecast (FY): N/A

• Rating: 44 Neutral
• Price Target: kr2.00 ▼(-6.98% Downside)

The score is primarily held back by weak financial performance: large ongoing losses and persistent cash burn despite improving revenue and strong gross margins. Technicals also weigh on the score, with the stock below all major moving averages and negative MACD. Valuation is only moderately supportive because a negative P/E reflects ongoing losses and dividend yield is not available.

Positive Factors

High gross margins

An ~83% gross margin indicates the product technology commands strong per-unit economics in specialty chemical/animal nutrition end-markets. High gross margins create durable opportunity for operating leverage as revenue scales, improving the pathway to sustained profitability if SG&A and R&D are controlled.

Revenue growth traction

Positive ~15% YoY revenue growth shows commercial adoption beyond pilot stages and validates market demand for phenylcapsaicin applications. If this trend continues, it supports leveraging fixed costs and improving operating margins over the next several quarters as product placements expand in animal nutrition.

Debt-free balance sheet and equity base

A debt-free balance sheet and ~70.1M equity provide structural financial flexibility to fund commercialization and R&D without immediate refinancing pressure. This reduces solvency risk and gives management time to reach cash break-even or raise capital on more favorable terms over 2–6 months.

Negative Factors

Deep and persistent unprofitability

A net margin near -208% and negative EBIT/EBITDA reflect a cost base far exceeding current revenues. Absent rapid revenue scale or cost restructuring, persistent losses can erode equity, limit reinvestment capacity, and force dilutive financings, threatening long-term viability if profitability remains out of reach.

Consistent negative operating and free cash flow

Ongoing negative OCF and FCF (~-11.5M) mean operations do not self-fund growth, creating reliance on external funding or reserves. Over a multi-month horizon this raises dilution and execution risk, as sustained cash burn can constrain commercialization investments and slow market expansion.

Negative returns on equity

A ~-25% ROE signals the company is destroying shareholder capital rather than creating it. Persistently negative ROE undermines investor confidence and can make future capital raises more costly, limiting ability to scale operations and commercialize products without significant strategic change.

aXichem AB Class A Business Overview & Revenue Model

Company Description

aXichem AB, a biotechnology company, engages in the development of natural analogue ingredients in Sweden. It offers aXivite, an natural analogue capsaicin solution for a range of dietary health applications; aXiphen-bio, a bio-repellent for antifouling protection for vessels and marine installations, pest control in agriculture and forestry, and pest control for cable installations in buildings and underground cables; and aXiphen-feed, a solution for enhanced health for chickens, hens, pigs, and piglets. The company was incorporated in 2007 and is based in Malmö, Sweden.

How the Company Makes Money

aXichem AB generates revenue primarily by selling its synthetic capsaicin products to companies operating in the health, feed, and food industries. The company's key revenue streams include direct sales of its products to manufacturers who incorporate these ingredients into their own offerings, such as dietary supplements, animal feed, and food products. Additionally, aXichem may engage in licensing agreements and partnerships with other companies to expand the reach and application of its technology. These collaborations can provide additional income through licensing fees and shared revenue models. Factors contributing to aXichem's earnings include the growing demand for natural and sustainable ingredients in various industries and the company's ability to innovate and adapt its products to meet market needs.

aXichem AB Class A Financial Statement Overview

Summary

Strong gross margin improvement (~83%) and revenue growth (~15% YoY) are positives, but the company remains deeply unprofitable (net margin ~-208%) with negative EBIT/EBITDA. Cash flow is consistently negative (2024 operating and free cash flow about -11.5M), partially offset by a debt-free balance sheet and solid equity base that provides financial flexibility.

Income Statement

Revenue is scaling off a small base, with 2024 revenue up ~15% vs. 2023, and gross margin improving to a strong ~83% (vs. ~78% in 2023). However, profitability remains weak: 2024 net margin is roughly -208% with negative EBIT and EBITDA, indicating the cost base is still far ahead of current sales. Losses have not meaningfully inflected despite higher revenue, which keeps the income statement quality low.

Balance Sheet

The balance sheet is a relative strength: 2024 shows zero debt and a solid equity base (~70.1M) supporting ~74.3M in assets, improving financial flexibility versus prior years when debt was present (e.g., 2022–2023). The key weakness is continued negative returns on equity (about -25% in 2024), reflecting ongoing losses that can erode capital over time if not reversed.

Cash Flow

Cash generation remains pressured with negative operating cash flow and negative free cash flow across all shown years (2024 operating cash flow about -11.5M; free cash flow also about -11.5M). Cash burn improved versus 2023 (less negative), but free cash flow growth is still negative in 2024, and cash flow remains dependent on external funding or balance sheet reserves until operations turn sustainably cash-positive.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	11.93M	8.57M	1.81M	5.01M	4.36M	1.23M
Gross Profit	7.06M	7.08M	1.41M	3.82M	909.00K	596.00K
EBITDA	-15.10M	-11.55M	-15.10M	-12.44M	-13.49M	-12.01M
Net Income	-20.51M	-17.81M	-20.81M	-17.26M	-15.09M	-13.52M
Balance Sheet
Total Assets	68.18M	74.28M	61.49M	61.25M	58.77M	55.75M
Cash, Cash Equivalents and Short-Term Investments	6.78M	14.36M	4.31M	6.55M	9.45M	12.04M
Total Debt	3.09M	0.00	10.27M	18.76M	0.00	0.00
Total Liabilities	7.13M	4.13M	12.96M	20.92M	2.47M	2.10M
Stockholders Equity	61.02M	70.13M	48.51M	40.31M	56.30M	53.65M
Cash Flow
Free Cash Flow	-10.94M	-11.50M	-15.68M	-21.71M	-20.32M	-18.93M
Operating Cash Flow	-10.94M	-11.50M	-15.68M	-19.10M	-15.60M	-11.69M
Investing Cash Flow	-6.63M	-6.50M	-5.10M	-2.61M	-4.73M	-7.23M
Financing Cash Flow	14.32M	28.05M	18.54M	18.80M	17.73M	0.00

aXichem AB Class A Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.15
• 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 SE:AXIC.A, the sentiment is Negative. The current price of 2.15 is above the 20-day moving average (MA) of 1.97, below the 50-day MA of 2.18, and below the 200-day MA of 2.56, indicating a bearish trend. The MACD of -0.11 indicates Negative momentum. The RSI at 44.37 is Neutral, neither overbought nor oversold. The STOCH value of 62.59 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:AXIC.A.

aXichem AB Class A Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
NEXAM	45 Neutral	kr242.91M	-11.65	-7.96%	―	-1.89%	-59.17%
ORGC	45 Neutral	kr193.06M	-6.30	-75.16%	―	-18.29%	-48.74%
AXIC.A	44 Neutral	kr109.36M	-6.08	-30.10%	―	114.57%	53.86%
XPC	44 Neutral	kr56.20M	-4.41	―	―	―	―