MIPS AB (MIPS) AI Stock Analysis

• Market Cap: kr10.79B
• Dividend Yield: 1.59%
• Average Volume (3M): 47.74K
• Price to Earnings (P/E): 77.1
• Beta (1Y): 0.90
• Revenue Growth: 34.64%
• EPS Growth: 70.47%
• Country: SE
• Employees: 110
• Sector: Consumer Cyclical
• Sector Strength: 72
• Industry: Leisure
• EPS (TTM): 1.22
• Shares Outstanding: 26,493,273
• 10 Day Avg. Volume: 38,403
• 30 Day Avg. Volume: 47,737
• 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: kr579.90
• Price Target Upside: 42.34% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 69 Neutral
• Price Target: kr467.00 ▲(14.63% Upside)

MIPS AB's overall stock score reflects strong financial performance and positive earnings call highlights, offset by mixed technical signals and high valuation concerns. The company's robust growth, particularly in Europe, is a key strength, while tariff impacts and high P/E ratio are notable risks.

Positive Factors

Market Outlook

The quarter is viewed as resilient given the backdrop, with a constructive long-term outlook supported by strong brand equity, global diversification, and continued category expansion.

Net Sales Growth

Net sales increased by 12% organically, reflecting continued momentum in the Sports category and resilience despite tariff-related headwinds.

Negative Factors

Legal Costs Impact

EBIT declined by 22% year-over-year, primarily due to significant legal costs tied to a US customer lawsuit.

Trade Tariffs Uncertainty

Management anticipates that trade tariffs will create short-term uncertainty, potentially leading to postponed sales.

MIPS AB Business Overview & Revenue Model

Company Description

MIPS AB (MIPS) is a Swedish company specializing in helmet safety technology. The company operates primarily in the sports, motorbike, and safety helmet sectors. MIPS is renowned for its patented Multi-directional Impact Protection System, which is designed to reduce rotational motion transferred to the brain during angled impacts. The technology is incorporated into helmets by various manufacturers around the world, enhancing safety across different activities and industries.

How the Company Makes Money

MIPS makes money by licensing its proprietary helmet safety technology to helmet manufacturers. The company earns revenue through licensing agreements, where manufacturers pay for the integration of MIPS technology into their helmet designs. Additionally, MIPS may generate income through partnerships and collaborations with helmet brands, enabling them to enhance their product offerings with advanced safety features. These licensing fees form the core of MIPS's revenue streams, supported by ongoing innovation and expansion into new markets and sectors.

MIPS AB Financial Statement Overview

Summary

MIPS AB demonstrates strong financial health with robust profitability, a stable balance sheet, and effective cash flow management. The company has a high gross profit margin and strong equity figures, although there is slight pressure on net profit margins.

Income Statement

MIPS AB shows strong profitability with a gross profit margin of 72.82% and an EBIT margin of 36.12% for TTM. The revenue growth rate of 6.62% from the previous annual period indicates steady growth. However, the net profit margin at 28.74% and a slight decline from previous high profit periods suggest some pressure on net income.

Balance Sheet

The company's balance sheet is robust, highlighted by a very low debt-to-equity ratio of 0.02 and a strong equity ratio of 87.20% for TTM. Return on equity is solid at 22.87%, indicating effective use of equity to generate profits. The high equity figures demonstrate financial stability and low leverage risks.

Cash Flow

Cash flow performance is strong with a notable 34.85% growth in free cash flow for TTM. The operating cash flow to net income ratio of 1.28 indicates efficient cash conversion. Free cash flow to net income ratio of 1.20 supports this efficiency, reflecting solid cash-generating capabilities relative to net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	517.00M	483.00M	357.00M	563.00M	608.00M	365.00M
Gross Profit	378.00M	350.00M	253.00M	406.00M	445.00M	266.00M
EBITDA	175.00M	209.00M	102.00M	242.00M	340.00M	178.00M
Net Income	140.00M	141.00M	64.00M	175.00M	255.00M	129.00M
Balance Sheet
Total Assets	594.00M	739.00M	738.00M	767.00M	756.00M	517.00M
Cash, Cash Equivalents and Short-Term Investments	244.00M	382.00M	408.00M	533.00M	450.00M	272.00M
Total Debt	9.00M	12.00M	14.00M	17.00M	7.00M	11.00M
Total Liabilities	91.00M	98.00M	81.00M	141.00M	179.00M	91.00M
Stockholders Equity	503.00M	641.00M	657.00M	626.00M	577.00M	426.00M
Cash Flow
Free Cash Flow	161.00M	132.00M	2.00M	215.00M	267.00M	101.00M
Operating Cash Flow	177.00M	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	-175.00M	-162.00M	-42.00M	-136.00M	-95.00M	-15.00M

MIPS AB Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 407.40
• 50DMA: Negative
• 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:MIPS, the sentiment is Negative. The current price of 407.4 is below the 20-day moving average (MA) of 422.86, below the 50-day MA of 433.40, and below the 200-day MA of 443.42, indicating a bearish trend. The MACD of -7.22 indicates Positive momentum. The RSI at 40.48 is Neutral, neither overbought nor oversold. The STOCH value of 21.65 is Neutral, 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
SKIS.B	73 Outperform	kr12.05B	22.26	13.24%	1.82%	3.44%	0.34%
MIPS	69 Neutral	kr10.79B	77.09	25.72%	1.59%	34.64%	70.47%
NEWA.B	67 Neutral	kr15.99B	17.68	12.85%	2.93%	3.68%	-11.21%
THULE	63 Neutral	kr29.31B	27.99	14.77%	3.27%	7.35%	-10.34%
Sector *	62 Neutral	AU$3.02B	29.09	4.95%	4.87%	2.19%	-27.19%
FOI.B	56 Neutral	kr6.82B	94.77	1.42%	2.40%	-7.64%	-69.69%
BOAT	47 Neutral	kr605.36M	―	-12.21%	―	-15.55%	-1428.30%

MIPS AB Corporate Events

Mips AB to Release Q2 2025 Interim Report

Mips AB has announced the release of its Interim Report for the second quarter of 2025, scheduled for July 16. The results will be presented by CEO Max Strandwitz and CFO Karin Rosenthal during a conference call on the same day. This announcement is significant for stakeholders as it provides insights into the company’s financial performance and strategic direction.

The most recent analyst rating on (SE:MIPS) stock is a Hold with a SEK600.00 price target. To see the full list of analyst forecasts on MIPS AB stock, see the SE:MIPS Stock Forecast page.

Mips AB Annual General Meeting Resolutions and Strategic Authorizations

The Annual General Meeting of Mips AB resulted in several key resolutions, including the approval of financial statements and the discharge of the Board and CEO from liability for 2024. A dividend of SEK 6.50 per share was declared, with payments scheduled for mid-May 2025. The meeting also saw the re-election of board members and the authorization for the Board to issue new shares and repurchase up to 10% of its own shares, reflecting strategic flexibility in capital management.