iZafe Group AB (IZAFE.B) AI Stock Analysis

• Market Cap: kr167.63M
• Dividend Yield: N/A
• Average Volume (3M): 1.02M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.82
• Revenue Growth: -6.15%
• EPS Growth: 53.72%
• Country: SE
• Employees: 7
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Instruments & Supplies
• EPS (TTM): -0.01
• Shares Outstanding: 364,614,440
• 10 Day Avg. Volume: 1,451,881
• 30 Day Avg. Volume: 1,019,746
• PEG Ratio: 0.06
• Price to Book (P/B): 6.06
• Price to Sales (P/S): 7.41
• P/FCF Ratio: -4.64
• 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: 42 Neutral
• Price Target: kr0.46 ▲(2.44% Upside)

The score is held down primarily by weak financial performance (declining revenue, persistent losses, and ongoing cash burn). Technicals are also soft with the price below key moving averages and a negative MACD, while valuation provides limited support because the company is loss-making (negative P/E) and no dividend yield is available.

Positive Factors

Improved Balance Sheet Leverage

Significantly reduced leverage and positive equity materially lower short-term refinancing risk and give management flexibility to prioritize product development or targeted commercial investments. This stability supports execution over the next several quarters without immediate debt pressure.

Recurring Revenue Model

A subscription-based software model creates more predictable, recurring revenue and higher customer lifetime value if retention holds. Over 2–6 months this supports revenue visibility, smoother cash flow patterns, and scalability of margins as the installed base grows and fixed costs are spread.

Position in Digital Health / Medication Adherence

Focus on smart dispensers and adherence software aligns with structural healthcare digitization and aging-population trends. This market exposure can sustain demand and partnership opportunities with providers and payers, supporting durable addressable-market growth over the medium term.

Negative Factors

Declining Revenue Trend

A persistent top-line decline undermines economies of scale and raises questions about product-market fit or commercial traction. If revenue contraction continues, it limits the company’s ability to leverage fixed costs, making a path to sustainable profitability harder absent revenue stabilization or growth.

Negative Operating Cash Flow and Worsening FCF

Ongoing cash burn forces reliance on external financing or dilution to fund operations and growth. Over a multi-month horizon this restricts strategic optionality, may pressure R&D or commercial spend, and increases execution risk if additional capital is not raised on reasonable terms.

Deeply Negative Profitability and Margins

Negative gross and operating margins indicate the business is not yet able to cover costs from core operations. Without a clear path to durable margin improvement, the company risks continued losses that depress returns and may necessitate capital raises, diluting existing holders and limiting reinvestment.

iZafe Group AB Business Overview & Revenue Model

Company Description

iZafe Group AB (publ), a life-science company, engages in the research, development, and marketing of digital medical solutions and services for safer drug management at home. The company provides Dosell, an automated drug dispenser that handles dose bags, facilitates and enables independent medication, and reminds and alerts if the current dose is not taken at the right time. It serves consumers, and public and private-sector care providers in Sweden, the Nordic region, and internationally. The company was formerly known as MediRätt AB (publ) and changed its name to iZafe Group AB (publ) in May 2019. iZafe Group AB (publ) was incorporated in 2008 and is headquartered in Stockholm, Sweden.

How the Company Makes Money

iZafe Group AB generates revenue through the sale of its digital health products, particularly its smart medication dispensers. The company employs a subscription-based model for its software services, allowing healthcare providers and patients to access ongoing support and updates. Additionally, iZafe may partner with healthcare facilities and organizations to implement its solutions, which can lead to revenue from service agreements and collaborations. Key revenue streams include direct product sales, subscription fees from software usage, and potential licensing agreements with third-party developers or healthcare systems.

iZafe Group AB Financial Statement Overview

Summary

iZafe Group AB is facing significant financial challenges with negative profit margins, consistent losses, and declining cash flows. Despite a positive revenue growth rate, the company needs to address profitability and cash flow issues to ensure long-term sustainability. The balance sheet is relatively stable, but improvements in operational efficiency and strategic financial management are crucial.

Income Statement

iZafe Group AB's income statement reveals significant challenges. The company has a negative gross profit margin and net profit margin, indicating that it is not currently profitable. Despite a positive revenue growth rate of 16.51% TTM, the company continues to face substantial losses with negative EBIT and EBITDA margins. These factors suggest ongoing operational difficulties and a need for strategic improvements to achieve profitability.

Balance Sheet

The balance sheet shows a moderate debt-to-equity ratio of 0.55 TTM, indicating manageable leverage. However, the return on equity is negative, reflecting the company's inability to generate profits from shareholders' equity. The equity ratio is relatively healthy, suggesting a stable asset base, but the negative ROE highlights the need for improved financial performance.

Cash Flow

Cash flow analysis indicates negative operating and free cash flows, with a declining free cash flow growth rate of -17.11% TTM. The operating cash flow to net income ratio is negative, showing that the company is not generating sufficient cash from its operations to cover its losses. The free cash flow to net income ratio is 1.0, suggesting that all free cash flow is being used to cover net losses, which is unsustainable in the long term.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	5.90M	7.95M	1.82M	729.00K	442.00K	8.90M
Gross Profit	-47.00K	-1.63M	293.00K	123.00K	-1.14M	7.64M
EBITDA	-12.84M	-15.49M	-15.62M	-21.94M	-32.35M	-10.67M
Net Income	-17.73M	-20.51M	-32.17M	-23.53M	-36.27M	-12.75M
Balance Sheet
Total Assets	40.20M	24.23M	34.61M	50.70M	48.43M	35.08M
Cash, Cash Equivalents and Short-Term Investments	4.85M	2.15M	5.83M	1.70M	18.73M	2.55M
Total Debt	333.00K	6.58M	2.52M	4.00M	4.98M	750.00K
Total Liabilities	23.71M	14.50M	9.26M	11.74M	7.70M	5.62M
Stockholders Equity	16.49M	9.73M	25.35M	38.96M	40.73M	29.46M
Cash Flow
Free Cash Flow	-8.91M	-12.72M	-12.71M	-24.12M	-33.71M	-26.14M
Operating Cash Flow	-11.80M	-11.70M	-11.26M	-21.46M	-33.49M	-24.57M
Investing Cash Flow	2.05M	-1.02M	-1.46M	-2.51M	-214.00K	19.04M
Financing Cash Flow	11.35M	8.69M	16.85M	6.94M	49.88M	604.00K

iZafe Group AB Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.45
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:IZAFE.B, the sentiment is Negative. The current price of 0.45 is below the 20-day moving average (MA) of 0.48, below the 50-day MA of 0.58, and above the 200-day MA of 0.41, indicating a neutral trend. The MACD of -0.04 indicates Negative momentum. The RSI at 39.77 is Neutral, neither overbought nor oversold. The STOCH value of 66.30 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:IZAFE.B.

iZafe Group AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
NXTCL	46 Neutral	kr82.65M	-1.68	-52.45%	―	2.56%	52.76%
IZAFE.B	42 Neutral	kr167.63M	-7.93	-109.88%	―	-6.15%	53.72%
BIOSGN	42 Neutral	kr93.93M	-2.78	-201.21%	―	―	49.09%
ICO	42 Neutral	kr63.67M	-0.75	―	―	-45.59%	37.79%
LPGO	41 Neutral	kr8.73M	-0.11	-213.85%	―	―	―
SPAGO	40 Underperform	kr76.74M	-2.00	-106.95%	―	-48.15%	51.95%