Midsummer AB (MIDS) AI Stock Analysis

• Market Cap: €764.12M
• Dividend Yield: N/A
• Average Volume (3M): 1.43M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.05
• Revenue Growth: 112.08%
• EPS Growth: 75.28%
• Country: SE
• Employees: 127
• Sector: Technology
• Sector Strength: 88
• Industry: Solar
• EPS (TTM): -0.15
• Shares Outstanding: 337,358,500
• 10 Day Avg. Volume: 852,776
• 30 Day Avg. Volume: 1,432,482
• 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: €2.52
• Price Target Upside: 11.50% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 52 Neutral
• Price Target: kr2.50 ▲(10.62% Upside)

Midsummer AB's overall stock score is primarily impacted by its strong revenue growth but significant financial challenges, including high leverage and negative profitability. Technical analysis shows positive momentum, providing some support to the stock. However, the negative P/E ratio and lack of dividend yield weigh on the valuation.

Midsummer AB Business Overview & Revenue Model

Company Description

Midsummer AB (publ) develops and supplies equipment for manufacturing CIGS thin film solar cells in Sweden. It offers Duo, a fully automatic deposition system for CIGS solar cell manufacturing; UNO, a platform for CIGS and CZTS solar cells; and flexible and lightweight modules for PV applications in membrane roofs, portable power plants, marine installations, vehicle usage, landfill covers, or other infrastructure projects. The company is headquartered in Järfälla, Sweden.

How the Company Makes Money

Midsummer AB generates revenue primarily through the sale of its thin-film solar cells and modules. The company's unique selling proposition lies in its proprietary production process, which allows for cost-effective manufacturing of high-quality solar solutions. Key revenue streams include direct sales to businesses and consumers looking for innovative solar solutions for rooftops and facades. Midsummer also engages in strategic partnerships with construction and energy companies, enhancing its market reach and application diversity. Additionally, the company may benefit from government incentives aimed at promoting renewable energy technologies, further bolstering its revenue potential.

Midsummer AB Financial Statement Overview

Summary

Midsummer AB is facing significant financial challenges, with declining revenues, negative profit margins, and increasing leverage. High debt levels and negative cash flow underscore financial instability, necessitating urgent operational improvements.

Income Statement

The company is experiencing continued revenue decline, with TTM (Trailing-Twelve-Months) revenue down from the previous year. Gross profit margin has deteriorated significantly, and the net profit margin remains deeply negative, indicating ongoing profitability challenges. The EBIT and EBITDA margins are also negative, reflecting operational inefficiencies.

Balance Sheet

The company's balance sheet reveals a high debt-to-equity ratio, indicating potential financial risk due to significant leverage. The equity ratio has decreased over time, suggesting reduced financial stability. Return on equity remains negative, highlighting ongoing profitability issues.

Cash Flow

Cash flow analysis shows negative free cash flow growth, and free cash flow remains negative. The operating cash flow to net income ratio is unfavorable, indicating cash flow challenges. Despite an increase in financing cash flow, this is likely due to increased debt to cover operational needs.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	99.75M	52.08M	49.63M	53.38M	94.41M	71.95M
Gross Profit	23.73M	2.38M	33.77M	-18.11M	27.30M	54.32M
EBITDA	-64.83M	-96.58M	-128.28M	-34.94M	-70.83M	-49.17M
Net Income	-101.72M	-129.45M	-222.21M	-87.83M	-129.51M	-116.35M
Balance Sheet
Total Assets	486.57M	418.06M	517.56M	469.42M	491.24M	520.39M
Cash, Cash Equivalents and Short-Term Investments	53.05M	8.46M	20.52M	2.39M	159.16M	217.61M
Total Debt	196.81M	247.85M	236.51M	235.23M	212.46M	215.63M
Total Liabilities	358.14M	342.78M	322.90M	285.94M	238.28M	264.46M
Stockholders Equity	128.43M	75.29M	194.65M	183.48M	252.96M	255.93M
Cash Flow
Free Cash Flow	-136.96M	-70.77M	-130.64M	-171.17M	-178.74M	-132.69M
Operating Cash Flow	-105.78M	-8.20M	-71.06M	-101.37M	-63.39M	-79.69M
Investing Cash Flow	-21.58M	-62.57M	-63.90M	-69.80M	-115.35M	-53.00M
Financing Cash Flow	84.56M	58.73M	148.45M	13.47M	118.97M	238.59M

Midsummer AB Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 2.26
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:MIDS, the sentiment is Neutral. The current price of 2.26 is below the 20-day moving average (MA) of 2.52, below the 50-day MA of 2.33, and above the 200-day MA of 1.39, indicating a neutral trend. The MACD of -0.04 indicates Positive momentum. The RSI at 45.05 is Neutral, neither overbought nor oversold. The STOCH value of 30.95 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for SE:MIDS.

Midsummer AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DORO	67 Neutral	965.75M	14.05	15.33%	―	-3.12%	43.26%
ADVE	60 Neutral	835.73M	35.28	20.17%	0.47%	30.59%	2990.29%
EG7	55 Neutral	1.20B	-5.37	-6.42%	―	5.10%	-623.00%
SIVE	53 Neutral	1.06B	-7.58	-12.14%	―	19.00%	22.24%
MIDS	52 Neutral	€764.12M	―	-85.33%	―	112.08%	75.28%
SOLT	40 Underperform	128.50M	-0.25	-56.85%	―	-19.50%	-141.90%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Midsummer AB Corporate Events

Midsummer Completes Bari Factory with Invitalia Grant

Midsummer has completed its factory in Bari, Italy, for the production of thin film solar cells, receiving a final grant payment of EUR 1.63 million from Invitalia. This marks a significant milestone as the factory is now certified and ready for mass production, positioning Midsummer as a key player in the European solar energy market. The company has secured a total of EUR 22 million in grants for this project and additional funding for research and development, indicating strong support and growth potential in the solar energy sector.

Midsummer AB Expands Board and Strengthens Strategic Direction

Midsummer AB held its annual general meeting on June 12, 2025, where key resolutions were adopted. The company decided not to pay dividends for 2024, amended its articles of association to expand the board, and elected new board members with diverse expertise in IT, sustainability, and finance. These changes aim to strengthen Midsummer’s strategic direction and enhance its market position in the solar energy industry.