Litium AB (LITI) AI Stock Analysis

• Market Cap: kr217.68M
• Dividend Yield: N/A
• Average Volume (3M): 45.08K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.61
• Revenue Growth: 7.86%
• EPS Growth: -189.02%
• Country: SE
• Employees: 22
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): -0.10
• Shares Outstanding: 19,349,264
• 10 Day Avg. Volume: 21,186
• 30 Day Avg. Volume: 45,075
• PEG Ratio: 0.17
• Price to Book (P/B): 2.56
• Price to Sales (P/S): 3.61
• P/FCF Ratio: 16.12
• 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): 0.3
• Revenue Forecast (FY): kr97.00M

• Rating: 54 Neutral
• Price Target: kr11.00 ▼(-25.17% Downside)
• Action: Reiterated Date: 02/18/26
• Date: Action: Reiterated 02/18/26

The score is primarily supported by a strong, debt-free balance sheet and improved operating cash flow, which provide flexibility. Offsetting this, profitability volatility (2025 losses with negative gross/operating results) and weak technical momentum (below key moving averages with negative MACD) keep the overall score in the mid-range, with valuation also constrained by negative earnings.

Positive Factors

Debt-free balance sheet

A debt-free capital structure with expanding equity gives durable financial flexibility: it lowers financing risk, supports investment in product and go-to-market, and provides a buffer during revenue or margin cycles, preserving strategic optionality over the next several quarters.

Consistent revenue growth

Steady top-line growth indicates sustainable market demand and improving product-market fit for the commerce platform. Recurring licensing and support revenue typical of the business model supports predictability and helps underpin medium-term revenue trajectory and planning.

Improved operating cash generation

Positive operating and free cash flow in the most recent year improves funding capacity for R&D, partner initiatives, and working capital without reliance on debt. This cash generation strengthens long-term resilience and enables strategic reinvestment into the platform.

Negative Factors

Profitability volatility and 2025 losses

Recurrent swings into negative gross profit and EBIT signal structural margin pressure or episodic costs that undermine durable profitability. Persistent margin instability makes sustainable earnings generation uncertain and complicates long-term planning for reinvestment and returns.

Cash flow variability

While 2025 cash flow improved, prior multi-year negative free cash flow and volatile conversion raise concerns about consistency of cash generation. This variability can strain budgeting, increase financing risk in downturns, and reflect uneven project timing or investment spikes.

Small organizational scale

A very small headcount limits scalability of sales, implementation and support for larger enterprise deals and increases operational concentration risk. Limited scale can raise per-customer costs and slow ability to broaden customer segments over the medium term.

Litium AB Business Overview & Revenue Model

Company Description

Litium AB (publ) operates cloud-based e-commerce platform for retailers, e-retailers, brands, wholesalers, and B2B businesses. The company was incorporated in 1998 and is headquartered in Stockholm, Sweden.

How the Company Makes Money

Litium AB makes money primarily by licensing its digital commerce platform to business customers and charging for ongoing use and support. Key revenue streams typically include: (1) recurring software subscription or license fees for access to the Litium platform (often structured as SaaS subscriptions and/or term licenses depending on customer setup); (2) maintenance and support fees tied to the platform, such as updates, hosting-related services (if provided), and technical support agreements; and (3) professional services revenue from implementation-related work, such as onboarding, configuration, customization, and advisory services connected to deploying and optimizing the platform. Litium also works with an ecosystem of implementation and technology partners (e.g., agencies/system integrators) who help customers implement and extend the platform; partner-led projects can support platform adoption and, in turn, subscription/license and support revenues. Specific pricing metrics (e.g., GMV-based, tier-based, or user-based pricing) and the exact breakdown by revenue stream are null.

Litium AB Financial Statement Overview

Summary

Balance sheet strength (debt-free, expanding equity and assets) and improved operating cash flow support financial resilience. However, profitability is inconsistent and 2025 reverted to losses with negative gross profit and EBIT, which meaningfully drags the score despite steady revenue growth.

Income Statement

Revenue has grown steadily over the last several years (mid-single-digit growth in 2024 and higher growth earlier), but profitability is inconsistent. After returning to a small profit in 2024, 2025 swung back to a net loss and shows negative gross profit and negative EBIT, indicating margin pressure and/or one-off costs. Overall, the top-line trajectory is constructive, but earnings quality and margin stability remain key weaknesses.

Balance Sheet

The balance sheet is a clear strength: the company is essentially debt-free in recent years (zero total debt in 2022–2025) and equity has expanded materially, supporting a stronger capital base. Total assets also increased sharply in 2025 versus 2024, suggesting added balance sheet capacity. The main drawback is that returns on equity have been low/negative in loss years, reflecting uneven ability to convert capital into profits.

Cash Flow

Cash generation has improved meaningfully versus earlier years: operating cash flow is positive in 2023–2025 and reached a higher level in 2025, with 2025 also showing strong positive free cash flow. However, cash flow volatility is notable—free cash flow was negative in 2022–2024 and the 2025 free-cash-flow growth rate is sharply negative versus the prior year’s base, signaling variability in cash conversion and investment timing.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	81.77M	72.34M	68.87M	64.89M	57.94M
Gross Profit	-2.90M	52.12M	46.18M	37.67M	67.92M
EBITDA	16.45M	17.55M	-2.67M	-11.66M	-12.04M
Net Income	-3.35M	708.58K	-3.43M	-12.47M	-12.92M
Balance Sheet
Total Assets	136.89M	101.27M	101.31M	107.17M	85.26M
Cash, Cash Equivalents and Short-Term Investments	16.41M	7.10M	11.02M	22.88M	11.16M
Total Debt	0.00	0.00	0.00	0.00	416.65K
Total Liabilities	21.83M	15.89M	16.77M	19.15M	19.15M
Stockholders Equity	115.05M	85.38M	84.54M	88.02M	66.11M
Cash Flow
Free Cash Flow	18.30M	-4.04M	-11.81M	-22.23M	-27.29M
Operating Cash Flow	18.64M	15.78M	9.72M	-574.76K	-4.35M
Investing Cash Flow	-32.73M	-19.82M	-21.54M	-21.65M	-22.94M
Financing Cash Flow	23.40M	124.65K	-49.95K	33.95M	23.78M

Litium AB Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 14.70
• 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:LITI, the sentiment is Negative. The current price of 14.7 is above the 20-day moving average (MA) of 11.54, above the 50-day MA of 13.15, and above the 200-day MA of 12.77, indicating a bearish trend. The MACD of -0.59 indicates Negative momentum. The RSI at 38.12 is Neutral, neither overbought nor oversold. The STOCH value of 56.53 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:LITI.

Litium AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CDMIL	62 Neutral	kr204.32M	-160.32	―	3.25%	-18.05%	-71.19%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
SFTR	58 Neutral	kr159.51M	224.82	―	―	―	―
LITI	54 Neutral	kr217.68M	-88.20	-0.84%	―	7.86%	-189.02%
BUSER	50 Neutral	kr328.32M	-0.85	―	―	―	―
MOBA	46 Neutral	kr17.69M	-0.07	―	―	―	―
CHECK	43 Neutral	kr72.92M	-1.20	-83.82%	―	-18.26%	-109.47%