Freemelt Holding AB (FREEM) AI Stock Analysis

• Market Cap: kr251.99M
• Dividend Yield: N/A
• Average Volume (3M): 332.26K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.01
• Revenue Growth: 141.44%
• EPS Growth: 43.04%
• Country: SE
• Employees: 39
• Sector: Technology
• Sector Strength: 88
• Industry: Computer Hardware
• EPS (TTM): -0.14
• Shares Outstanding: 188,755,550
• 10 Day Avg. Volume: 415,472
• 30 Day Avg. Volume: 332,259
• PEG Ratio: 0.05
• Price to Book (P/B): 1.30
• Price to Sales (P/S): 4.52
• P/FCF Ratio: -6.28
• 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): -0.11
• Revenue Forecast (FY): kr88.10M

• Rating: 48 Neutral
• Price Target: kr1.50 ▲(4.90% Upside)
• Action: Reiterated Date: 02/22/26
• Date: Action: Reiterated 02/22/26

The score is held back primarily by persistent losses and significant cash burn, despite improving revenue. Technicals add pressure as the stock remains in a clear downtrend with negative momentum indicators. The debt-free balance sheet and solid equity cushion are key positives that prevent a lower score, while valuation is constrained by negative earnings and no indicated dividend.

Positive Factors

Debt-free balance sheet

A zero-debt balance sheet and a sizable equity base materially reduce solvency risk, increasing strategic flexibility. This provides a longer runway to fund R&D, scale production, or weather cash burn without immediate refinancing pressure, supporting durable operations.

Revenue rebound

A meaningful revenue rebound demonstrates improving market traction and product adoption for its EBM systems. Sustained top-line growth, if continued, supports scale benefits, potential margin improvement and validation of the commercial model over the medium term.

Recurring service revenue

An installed base that drives service, spare parts and support creates recurring and semi-recurring revenue streams. These after-sales revenues typically have higher margins and predictability, improving lifetime customer value and lowering dependence on one-off system sales.

Negative Factors

Negative cash flow

Persistent negative operating and free cash flow indicate structural cash burn that will require external funding or dilution unless reversed. This constrains reinvestment capacity, risks operational cutbacks, and makes strategic initiatives contingent on securing capital.

Unprofitability & margins

Large, persistent losses and a sharply negative gross profit signal the company has not yet achieved a viable cost structure. Without durable gross margin recovery, profitability will remain elusive and scaling revenue alone may not produce sustainable earnings.

Equity erosion

Declining equity despite a currently sizable base shows capital erosion from losses and possible dilution. Over time this weakens the balance sheet cushion, reduces flexibility to raise non-dilutive capital, and increases the risk that future funding will dilute existing holders.

Freemelt Holding AB Business Overview & Revenue Model

Company Description

Freemelt Holding AB (publ), through its subsidiary, Freemelt AB, engages in the metal 3D-printing business in Europe, Asia, and North America. The company produces, markets, sells, and services Freemelt ONE, an electron beam-based 3D printer for research and development. It serves universities, research institutes, and research and development departments in large enterprises. The company was incorporated in 2017 and is headquartered in Mölndal, Sweden.

How the Company Makes Money

Freemelt Holding AB makes money primarily through the sale of its electron beam 3D printing systems, which are designed for industrial use in sectors such as aerospace, automotive, and medical. Additionally, the company generates revenue from providing maintenance services, software solutions, and consumable materials required for its 3D printers. Freemelt may also engage in partnerships and collaborations with other companies to enhance its technological offerings and expand its market reach, thus contributing to its earnings.

Freemelt Holding AB Financial Statement Overview

Summary

Revenue rebounded in 2025, but results remain deeply unprofitable with large operating/net losses and sharply negative gross profit. Cash flow is a major weakness with persistent operating and free cash outflows, implying ongoing funding needs. Offsetting this, the balance sheet is strong with zero debt and a meaningful equity base, reducing solvency risk despite declining equity.

Income Statement

Revenue rebounded strongly in 2025 (annual revenue up ~16% to ~54.5M), but the business remains deeply unprofitable with large operating and net losses across all reported years. Profitability also appears volatile: 2025 shows a sharply negative gross profit, and prior years show negative operating and net margins, indicating the cost structure is still far from scale and earnings visibility remains limited.

Balance Sheet

The balance sheet is a clear strength: the company reports zero debt across the period, which materially reduces financial risk. Equity remains sizable (~189.3M in 2025) and assets (~206.2M) provide a solid capital base, although equity has trended down from earlier years, reflecting ongoing losses and dilution/retained deficit pressure. Returns on equity are consistently negative, underscoring that the capital base is not yet producing profits.

Cash Flow

Cash generation remains weak with persistently negative operating cash flow and negative free cash flow (2025 operating cash flow about -34.7M; free cash flow about -39.2M). Free cash flow trends have been choppy and deteriorated in 2025 versus 2024 (growth ~-36.7%), suggesting continued cash burn and likely ongoing funding needs despite the debt-free structure.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	54.55M	20.02M	22.31M	37.32M	302.00K
Gross Profit	-93.54M	41.61M	35.04M	37.98M	7.57M
EBITDA	-32.47M	-35.57M	-30.15M	-38.07M	-11.71M
Net Income	-91.19M	-89.95M	-82.86M	-67.60M	-23.97M
Balance Sheet
Total Assets	206.22M	223.31M	254.69M	268.62M	335.38M
Cash, Cash Equivalents and Short-Term Investments	32.10M	16.63M	34.07M	10.92M	56.90M
Total Debt	0.00	0.00	0.00	0.00	0.00
Total Liabilities	16.88M	21.59M	15.17M	11.07M	10.31M
Stockholders Equity	189.35M	201.72M	239.52M	257.56M	325.07M
Cash Flow
Free Cash Flow	-39.20M	-45.41M	-41.69M	-46.07M	-29.20M
Operating Cash Flow	-34.70M	-37.78M	-16.55M	-29.44M	-18.03M
Investing Cash Flow	-23.74M	-36.74M	-25.13M	-16.63M	-8.15M
Financing Cash Flow	73.98M	56.98M	64.74M	20.00K	83.03M

Freemelt Holding AB Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.43
• 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 SE:FREEM, the sentiment is Negative. The current price of 1.43 is above the 20-day moving average (MA) of 1.41, below the 50-day MA of 1.54, and below the 200-day MA of 1.97, indicating a bearish trend. The MACD of -0.06 indicates Positive momentum. The RSI at 37.13 is Neutral, neither overbought nor oversold. The STOCH value of 22.74 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:FREEM.

Freemelt Holding AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
KJELL	57 Neutral	kr737.88M	-1.43	-42.09%	―	-4.54%	-1024.16%
ADVE	55 Neutral	kr637.80M	38.49	22.29%	0.48%	27.82%	305.33%
FREEM	48 Neutral	kr251.99M	-2.30	-39.81%	―	141.44%	43.04%
ALBERT	46 Neutral	kr113.33M	-1.81	-76.48%	―	-8.60%	24.21%
BIM	45 Neutral	kr616.52M	-9.94	-26.80%	―	2.08%	-168.70%