MIPS AB (MIPS) AI Stock Analysis

• Market Cap: kr8.84B
• Dividend Yield: 1.85%
• Average Volume (3M): 48.84K
• Price to Earnings (P/E): 64.1
• Beta (1Y): 0.74
• Revenue Growth: 23.02%
• EPS Growth: 32.69%
• Country: SE
• Employees: 110
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Leisure
• EPS (TTM): 1.29
• Shares Outstanding: 26,491,121
• 10 Day Avg. Volume: 71,328
• 30 Day Avg. Volume: 48,837
• PEG Ratio: 0.75
• Price to Book (P/B): 19.44
• Price to Sales (P/S): 25.80
• P/FCF Ratio: 94.40
• 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: kr579.55
• Price Target Upside: 75.52% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 72 Outperform
• Price Target: kr374.00 ▲(13.26% Upside)

MIPS AB's overall stock score reflects its strong financial health and positive earnings call, which highlight robust growth in Europe and a solid cash position. However, technical indicators suggest potential bearish momentum, and the high P/E ratio raises concerns about overvaluation. Challenges in the U.S. market and legal costs also weigh on the score.

Positive Factors

Strong Financial Health

MIPS's robust cash reserves and minimal debt provide financial stability, enabling strategic investments and resilience against economic fluctuations.

European Market Growth

Sustained growth in Europe indicates strong market demand and effective regional strategies, enhancing MIPS's competitive position and revenue potential.

Profitability Improvement

Improved profitability metrics suggest efficient operations and cost management, supporting long-term financial goals and shareholder value.

Negative Factors

U.S. Market Challenges

Persistent U.S. market difficulties due to tariffs and economic conditions may hinder MIPS's growth and profitability in this key region.

Legal Costs Impact

High legal expenses reduce profitability, potentially diverting resources from growth initiatives and impacting financial performance.

Revenue Growth Deceleration

Slowing revenue growth may signal market saturation or increased competition, challenging MIPS's ability to sustain long-term expansion.

MIPS AB Business Overview & Revenue Model

Company Description

MIPS AB (publ) manufactures and sells helmet-based safety systems in North America, Europe, Sweden, Asia, and Australia. It offers sports helmets for biking, skiing and snowboarding, equestrian, team sports, climbing, and white water rafting; and road motorcycle and motocross helmets. The company also provides safety helmets for industrial use, and legal enforcement and armed forces. MIPS AB (publ) was incorporated in 2001 and is headquartered in Täby, Sweden.

How the Company Makes Money

MIPS generates revenue primarily through the licensing of its patented technology to helmet manufacturers. The company charges licensing fees based on the volume of helmets produced by its partners that incorporate MIPS technology. Additionally, MIPS benefits from partnerships with several leading helmet brands, which enhances its market presence and drives sales. The company may also derive income from consulting services and technical support for manufacturers looking to integrate their safety systems into new helmet designs. This strategic model allows MIPS to expand its reach in various markets while maintaining relatively low overhead costs associated with manufacturing.

MIPS AB Financial Statement Overview

Summary

MIPS AB exhibits strong financial health with robust profitability, a solid balance sheet, and stable cash flow generation. The company’s low leverage and high equity ratio provide a strong foundation for future growth. While there are some pressures on operating margins and free cash flow growth, the overall financial position remains strong, positioning the company well for continued success in the leisure industry.

Income Statement

MIPS AB demonstrates strong profitability with a high gross profit margin of 73.1% and a solid net profit margin of 27.1% in the TTM period. The company has shown impressive revenue growth of 38.8% in the TTM, indicating robust demand and market presence. However, the EBIT and EBITDA margins have slightly decreased compared to previous periods, suggesting some pressure on operating efficiency.

Balance Sheet

The balance sheet is solid with a low debt-to-equity ratio of 0.018, indicating minimal leverage and financial risk. The return on equity is strong at 23.5%, reflecting efficient use of shareholder funds. The equity ratio stands at 84.7%, showcasing a strong capital structure with substantial equity backing.

Cash Flow

Cash flow performance is stable, with an operating cash flow to net income ratio of 2.08, indicating good cash generation relative to earnings. However, the free cash flow growth rate has declined by 9.6% in the TTM, which could signal potential challenges in maintaining cash flow levels. The free cash flow to net income ratio remains healthy at 0.91, suggesting effective conversion of profits into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	529.00M	483.00M	357.00M	563.00M	608.00M	365.00M
Gross Profit	388.00M	350.00M	253.00M	406.00M	445.00M	266.00M
EBITDA	175.00M	209.00M	88.00M	242.00M	340.00M	178.00M
Net Income	138.00M	141.00M	64.00M	175.00M	255.00M	129.00M
Balance Sheet
Total Assets	622.00M	739.00M	738.00M	767.00M	756.00M	517.00M
Cash, Cash Equivalents and Short-Term Investments	280.00M	382.00M	408.00M	533.00M	450.00M	272.00M
Total Debt	7.00M	12.00M	14.00M	17.00M	7.00M	11.00M
Total Liabilities	86.00M	98.00M	81.00M	141.00M	179.00M	91.00M
Stockholders Equity	536.00M	641.00M	657.00M	626.00M	577.00M	426.00M
Cash Flow
Free Cash Flow	168.00M	132.00M	2.00M	215.00M	267.00M	101.00M
Operating Cash Flow	182.00M	142.00M	11.00M	236.00M	277.00M	116.00M
Investing Cash Flow	-18.00M	-10.00M	-89.00M	-22.00M	-11.00M	-15.00M
Financing Cash Flow	-176.00M	-162.00M	-42.00M	-136.00M	-95.00M	-15.00M

MIPS AB Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 330.20
• 50DMA: Positive
• 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:MIPS, the sentiment is Negative. The current price of 330.2 is below the 20-day moving average (MA) of 345.06, above the 50-day MA of 325.60, and below the 200-day MA of 375.36, indicating a neutral trend. The MACD of 2.45 indicates Positive momentum. The RSI at 48.70 is Neutral, neither overbought nor oversold. The STOCH value of 19.80 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:MIPS.

MIPS AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RVRC	74 Outperform	kr6.29B	21.93	23.71%	2.02%	6.44%	0.49%
MIPS	72 Outperform	kr8.84B	64.08	23.68%	1.85%	23.02%	32.69%
BORG	69 Neutral	kr1.51B	17.40	23.44%	4.95%	9.20%	11.72%
THULE	65 Neutral	kr25.56B	24.22	14.62%	3.54%	8.93%	-12.56%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
FOI.B	57 Neutral	kr6.72B	79.85	2.04%	6.24%	-2.98%	-30.48%
USWE	45 Neutral	kr104.19M	-9.20	-16.28%	―	24.34%	39.30%

MIPS AB Corporate Events

Mips Completes Acquisition of Impact Protection Specialist Koroyd

Mips AB has completed the acquisition of Monaco-based Koroyd SARL and SCP George TFE, a pioneer in advanced impact protection technology for head and body safety that complements Mips’ existing helmet safety systems. The deal advances Mips’ strategy to broaden its technology portfolio in impact protection, potentially strengthening its product offering to helmet manufacturers and reinforcing its position as a leading provider of safety solutions in the global head and body protection market.

The most recent analyst rating on (SE:MIPS) stock is a Buy with a SEK374.00 price target. To see the full list of analyst forecasts on MIPS AB stock, see the SE:MIPS Stock Forecast page.

Mips AB Acquires Koroyd to Enhance Helmet Safety Portfolio

Mips AB has announced the acquisition of Koroyd, a Monaco-based pioneer in advanced impact protection technology, for EUR 40 million. This strategic acquisition aims to strengthen Mips’ market position in helmet safety and expand into adjacent product areas, leveraging synergies in product development and marketing. The transaction is expected to positively impact Mips’ financial performance and is set to be completed by December 2025.

The most recent analyst rating on (SE:MIPS) stock is a Hold with a SEK331.00 price target. To see the full list of analyst forecasts on MIPS AB stock, see the SE:MIPS Stock Forecast page.

Mips AB to Present Q3 2025 Financial Results

Mips AB announced the release of its Interim Report for the third quarter of 2025, scheduled for October 22. The results will be presented by the company’s President and CEO, Max Strandwitz, and CFO, Karin Rosenthal, during a conference call on the same day. This announcement is part of Mips’ ongoing efforts to maintain transparency with its stakeholders and provide insights into its financial performance.

The most recent analyst rating on (SE:MIPS) stock is a Buy with a SEK580.00 price target. To see the full list of analyst forecasts on MIPS AB stock, see the SE:MIPS Stock Forecast page.