Image Systems AB (IS) AI Stock Analysis

• Market Cap: kr173.06M
• Dividend Yield: N/A
• Average Volume (3M): 144.12K
• Price to Earnings (P/E): 57.7
• Beta (1Y): 0.68
• Revenue Growth: 19.16%
• EPS Growth: N/A
• Country: SE
• Employees: 75
• Sector: Technology
• Sector Strength: 89
• Industry: Consumer Electronics
• EPS (TTM): -0.04
• Shares Outstanding: 89,207,820
• 10 Day Avg. Volume: 178,875
• 30 Day Avg. Volume: 144,122
• PEG Ratio: -0.13
• Price to Book (P/B): 2.03
• Price to Sales (P/S): 1.37
• P/FCF Ratio: 18.29
• 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: kr2.01
• Price Target Upside: 7.14% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 60 Neutral
• Price Target: kr2.00 ▲(6.38% Upside)

The overall stock score reflects a mixed financial performance with stable revenue growth and a strong balance sheet, but declining profit margins and cash flow challenges. Technical indicators suggest a lack of strong momentum, and the high P/E ratio indicates potential overvaluation. The absence of earnings call data and corporate events leaves these areas unaddressed.

Image Systems AB Business Overview & Revenue Model

Company Description

Image Systems AB (IS) is a Swedish company specializing in advanced image analysis solutions and systems. The company operates primarily in the sectors of defense, aerospace, automotive, and industrial. Its core products include high-precision motion analysis systems, measurement systems for industrial applications, and customized solutions for image and video analysis.

How the Company Makes Money

Image Systems AB generates revenue through the sale of its high-tech image analysis systems and software solutions to various industries, including defense, aerospace, and automotive. The company also offers consulting services and customer support, which contribute to its revenue streams. Additionally, Image Systems AB engages in strategic partnerships with technology providers and industry leaders to enhance its product offerings and expand its market reach, which significantly contributes to its earnings.

Image Systems AB Financial Statement Overview

Summary

Image Systems AB demonstrates strong financial performance with notable improvements in profitability and cash flow generation. The company has a robust cash flow with a 91.30% growth in free cash flow, strong profitability with a net profit margin of 3.34%, and low leverage with a debt-to-equity ratio of 0.14. While asset growth and equity returns are areas for improvement, the company's financial foundations are solid.

Income Statement

Image Systems AB shows a solid income statement performance with a TTM gross profit margin of 58.75% and a net profit margin of 3.34%. Revenue growth has been steady, with a 15.56% increase from 2023 to 2024, indicating strong sales momentum. EBIT and EBITDA margins are 3.55% and 13.57%, respectively, reflecting operational efficiency. The company successfully turned around from a net loss in 2023 to a profit in TTM 2025, showcasing improved profitability.

Balance Sheet

The balance sheet indicates financial stability with a debt-to-equity ratio of 0.14 in TTM 2025, showing low leverage. The equity ratio stands at 54.52%, indicating a strong equity position. Return on equity is moderate at 5.09% in TTM 2025. Although the balance sheet is robust, growth in stockholders' equity has been modest, and the total assets have slightly decreased over the years, suggesting room for improvement in asset management.

Cash Flow

The cash flow statement highlights strong cash management with a substantial free cash flow growth of 91.30% from 2024 to TTM 2025. The operating cash flow to net income ratio is 7.53, indicating efficient conversion of net income into cash. The free cash flow to net income ratio is 4.26, underscoring robust cash generation. The company's ability to generate strong free cash flow positions it well for future investments and debt reduction.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	190.90M	184.90M	160.70M	171.10M	152.20M	162.70M
Gross Profit	108.90M	141.10M	122.80M	123.80M	109.70M	102.70M
EBITDA	23.80M	26.80M	15.50M	21.70M	10.90M	2.60M
Net Income	3.00M	8.60M	-6.80M	8.60M	100.00K	-18.30M
Balance Sheet
Total Assets	207.40M	225.90M	183.00M	194.70M	196.30M	193.30M
Cash, Cash Equivalents and Short-Term Investments	4.50M	12.70M	6.60M	22.50M	7.10M	3.80M
Total Debt	13.10M	19.50M	14.60M	18.80M	24.90M	31.10M
Total Liabilities	89.00M	101.30M	67.00M	71.80M	82.30M	79.50M
Stockholders Equity	118.40M	124.60M	116.00M	122.90M	114.00M	113.80M
Cash Flow
Free Cash Flow	7.10M	13.80M	-9.70M	21.50M	7.60M	20.40M
Operating Cash Flow	24.20M	39.20M	1.70M	31.30M	15.70M	26.10M
Investing Cash Flow	-22.30M	-25.40M	-11.40M	-9.80M	-8.10M	-17.70M
Financing Cash Flow	-10.20M	-7.70M	-6.20M	-6.10M	-4.30M	-7.80M

Image Systems AB Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.88
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:IS, the sentiment is Negative. The current price of 1.88 is below the 20-day moving average (MA) of 1.94, below the 50-day MA of 1.92, and below the 200-day MA of 2.11, indicating a bearish trend. The MACD of <0.01 indicates Positive momentum. The RSI at 46.00 is Neutral, neither overbought nor oversold. The STOCH value of 7.81 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:IS.

Image Systems AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TAGM.B	70 Outperform	kr241.68M	40.16	2.31%	―	7.65%	17.27%
IS	60 Neutral	kr173.06M	57.74	2.37%	―	19.16%	―
Sector *	55 Neutral	$294.40M	5.58	-5.25%	2.63%	11.03%	-74.02%
JLT	54 Neutral	€51.97M	―	-16.05%	―	-20.37%	-7262.86%
INCOAX	49 Neutral	kr163.43M	―	-18.50%	―	-10.52%	-79.76%
FREEM	47 Neutral	kr485.10M	―	-35.26%	―	103.93%	37.41%

Image Systems AB Corporate Events

Image Systems AB Reports Increased Net Sales Amid Market Challenges

Image Systems AB reported an increase in net sales for the second quarter of 2025, despite challenging market conditions. The company’s transition to a subscription-based model in its Motion Analysis unit, while initially reducing sales, is expected to stabilize revenue and improve margins in the long term. RemaSawco maintained stable earnings, although its gross margin was slightly affected by a higher proportion of hardware sales. The company is focusing on strengthening its market presence and product offerings to enhance profitability and growth, with strategic investments in AI and direct sales channels.