Loyal Solutions A/S (LOYAL) AI Stock Analysis

• Market Cap: kr28.88M
• Dividend Yield: N/A
• Average Volume (3M): 8.02K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.18
• Revenue Growth: -4.44%
• EPS Growth: -14.29%
• Country: SE
• Employees: 20
• Sector: Services
• Sector Strength: N/A
• Industry: Software - Application
• EPS (TTM): -0.69
• Shares Outstanding: 9,499,998
• 10 Day Avg. Volume: 7,818
• 30 Day Avg. Volume: 8,020
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: kr3.00
• Price Target Upside: -1.32% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 46 Neutral
• Price Target: kr3.00 ▼(-1.32% Downside)

The overall stock score reflects significant financial challenges, with declining revenues and high leverage being the most impactful factors. While technical indicators show some neutral to mild bullish signals, the negative valuation metrics further weigh down the score.

Loyal Solutions A/S Business Overview & Revenue Model

Company Description

Loyal Solutions A/S (LOYAL) is a technology-driven company specializing in loyalty program management and customer engagement solutions. Operating primarily in the digital marketing and customer relationship management sectors, Loyal Solutions provides innovative platforms that enable businesses to create, manage, and optimize loyalty programs. Their core offerings include software solutions for customer rewards, analytics tools for consumer behavior insights, and mobile applications that enhance user experience and engagement.

How the Company Makes Money

Loyal Solutions generates revenue through a subscription-based model, charging businesses for access to their loyalty program management software and analytics tools. Key revenue streams include monthly or annual subscription fees from clients, transaction fees for each customer engagement within loyalty programs, and consulting services for program implementation and optimization. Additionally, the company may benefit from strategic partnerships with marketing agencies and retail businesses, providing them with tailored solutions that drive customer retention and increase sales, thus contributing to its overall earnings.

Loyal Solutions A/S Financial Statement Overview

Summary

Loyal Solutions A/S has shown strong revenue growth but remains unprofitable with negative EBIT and net income margins. The balance sheet indicates high leverage risk with negative equity, and cash flow analysis reveals liquidity issues with negative free cash flow and reliance on external financing.

Income Statement

Loyal Solutions A/S has shown significant revenue growth, increasing from over 10 million in 2020 to approximately 40 million in 2024. However, despite the top-line growth, the company remains unprofitable, with negative EBIT and net income margins throughout the period, indicating challenges in cost management and operational efficiency.

Balance Sheet

The balance sheet reveals a concerning financial structure with negative stockholders' equity, suggesting liabilities exceed assets. The debt-to-equity ratio is not calculable due to negative equity, but high liabilities relative to assets indicate leverage risk. The company's financial stability appears weak, posing potential solvency issues.

Cash Flow

Cash flow analysis shows consistent negative free cash flow, though there is a slight improvement in operating cash flow in the latest period. The cash flow to net income ratios indicate cash flow challenges relative to net income losses, highlighting liquidity concerns. The reliance on financing activities in some years underscores the need for external funds to sustain operations.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	39.12M	40.09M	26.89M	18.27M	14.59M
Gross Profit	10.43M	12.67M	3.43M	432.46K	2.48M
EBITDA	-6.09M	-5.33M	-14.22M	-14.50M	-5.95M
Net Income	-10.09M	-8.68M	-17.32M	-18.48M	-9.78M
Balance Sheet
Total Assets	18.66M	18.97M	22.21M	22.05M	41.19M
Cash, Cash Equivalents and Short-Term Investments	4.03M	1.84M	7.29M	6.32M	26.60M
Total Debt	27.07M	18.61M	18.19M	8.33M	9.53M
Total Liabilities	47.14M	37.31M	31.89M	14.40M	15.73M
Stockholders Equity	-28.49M	-18.35M	-9.68M	7.65M	25.46M
Cash Flow
Free Cash Flow	-4.14M	-4.47M	-8.40M	-17.70M	-9.34M
Operating Cash Flow	-2.92M	-3.17M	-7.44M	-17.24M	-7.42M
Investing Cash Flow	-1.23M	-1.31M	-852.43K	-1.17M	-2.10M
Financing Cash Flow	6.34M	-971.85K	9.27M	-1.87M	31.68M

Loyal Solutions A/S Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3.04
• 50DMA: Positive
• 100DMA: Positive
• 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:LOYAL, the sentiment is Negative. The current price of 3.04 is below the 20-day moving average (MA) of 3.06, above the 50-day MA of 2.82, and below the 200-day MA of 4.75, indicating a neutral trend. The MACD of 0.08 indicates Positive momentum. The RSI at 51.98 is Neutral, neither overbought nor oversold. The STOCH value of 24.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:LOYAL.

Loyal Solutions A/S Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%
ZAPLOX	49 Neutral	kr30.69M	―	-257.50%	―	16.19%	48.78%
LOYAL	46 Neutral	kr28.88M	―	―	―	-4.44%	-14.29%
SPOTR	40 Underperform	kr15.45M	―	-152.04%	―	-5.18%	62.80%
SILEON	40 Underperform	kr18.45M	―	-282.46%	―	-86.29%	75.49%