Net Insight AB Class B (NETI.B) AI Stock Analysis

• Market Cap: kr1.39B
• Dividend Yield: N/A
• Average Volume (3M): 1.07M
• Price to Earnings (P/E): 923.9
• Beta (1Y): 0.77
• Revenue Growth: -12.55%
• EPS Growth: -98.16%
• Country: SE
• Employees: 209
• Sector: Technology
• Sector Strength: 91
• Industry: Communication Equipment
• EPS (TTM): -0.03
• Shares Outstanding: 347,243,000
• 10 Day Avg. Volume: 1,098,404
• 30 Day Avg. Volume: 1,066,645
• PEG Ratio: -0.75
• Price to Book (P/B): 2.22
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -39.99
• 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: kr4.02
• Price Target Upside: -2.81% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 61 Neutral
• Price Target: kr4.50 ▲(8.70%Upside)

Net Insight AB's overall stock score is primarily driven by its strong financial foundation, with profitability and a stable balance sheet being key strengths. However, the high P/E ratio suggests overvaluation, impacting the attractiveness of the stock. Technical indicators show a mixed outlook, indicating potential resistance and limited bullish momentum. The lack of dividend yield also contributes to a lower valuation score. These factors collectively moderate the overall stock score.

Net Insight AB Class B Business Overview & Revenue Model

Company Description

Net Insight AB Class B (NETI.B) is a Swedish-based technology company focused on delivering innovative solutions for the media and broadcast industry. The company specializes in live video transport, synchronizing video and data over networks, and providing cloud-based services that enhance the distribution and production of live content. Net Insight's products and services are designed to improve efficiency, optimize the delivery quality, and reduce costs for broadcasters and media companies globally.

How the Company Makes Money

Net Insight makes money primarily through the sale and licensing of its technology solutions and services to media and broadcasting companies. Its revenue model includes the sale of hardware products such as video transport solutions, and the licensing of software solutions that enable efficient content delivery and synchronization. Additionally, Net Insight generates recurring revenue from maintenance contracts and support services, as well as from cloud-based services that offer scalable and flexible solutions for live content production and distribution. Significant partnerships with broadcasters and media companies enhance its market reach and contribute to its earnings by leveraging these relationships to expand its customer base and market penetration.

Net Insight AB Class B Financial Statement Overview

Summary

Net Insight AB displays strong financial health with consistent revenue growth and profitability. The balance sheet is solid with low leverage, and operational efficiency is high. However, the decline in free cash flow and revenue growth rate suggests areas needing improvement.

Income Statement

Net Insight AB has shown consistent revenue growth and improved profitability over the years. The TTM (Trailing-Twelve-Months) Gross Profit Margin is 59.39%, indicating strong cost management. However, the revenue has slightly declined compared to the previous year, impacting the Revenue Growth Rate. The Net Profit Margin for TTM is 7.39%, slightly lower than the previous reported year, suggesting room for profitability enhancement.

Balance Sheet

The company maintains a solid balance sheet with a Debt-to-Equity Ratio of 0.02, indicating low financial leverage. The Equity Ratio stands at 78.67%, reflecting a strong equity base. Despite these strengths, a decrease in Stockholders' Equity and Total Assets over the TTM period slightly dampens the overall stability.

Cash Flow

Cash flow from operations remains positive, but the Free Cash Flow turned negative in the TTM period, signaling challenges in capital management. The Operating Cash Flow to Net Income Ratio of 1.50 indicates efficient cash generation relative to net income. However, the negative Free Cash Flow Growth Rate is a concern.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	580.13M	608.01M	559.37M	475.12M	380.69M	398.95M
Gross Profit	344.58M	372.79M	341.79M	297.66M	228.38M	243.71M
EBITDA	133.64M	171.18M	149.96M	132.05M	87.67M	28.28M
Net Income	42.87M	71.05M	60.10M	54.02M	23.80M	-9.20M
Balance Sheet
Total Assets	789.09M	834.78M	838.40M	845.20M	828.62M	862.37M
Cash, Cash Equivalents and Short-Term Investments	156.33M	232.94M	266.40M	307.15M	353.66M	281.98M
Total Debt	10.26M	13.29M	24.29M	32.17M	34.20M	45.73M
Total Liabilities	168.41M	188.41M	216.24M	240.11M	182.09M	169.76M
Stockholders Equity	620.67M	646.37M	622.16M	605.09M	646.53M	692.62M
Cash Flow
Free Cash Flow	-34.30M	24.93M	11.26M	58.09M	42.01M	-61.54M
Operating Cash Flow	64.24M	128.24M	107.32M	148.83M	103.72M	15.87M
Investing Cash Flow	-98.54M	-103.31M	-96.29M	-90.90M	8.63M	224.66M
Financing Cash Flow	-61.43M	-59.13M	-52.72M	-104.98M	-41.30M	-7.91M

Net Insight AB Class B Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4.14
• 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:NETI.B, the sentiment is Positive. The current price of 4.14 is above the 20-day moving average (MA) of 4.05, above the 50-day MA of 3.78, and below the 200-day MA of 5.43, indicating a neutral trend. The MACD of 0.05 indicates Positive momentum. The RSI at 54.56 is Neutral, neither overbought nor oversold. The STOCH value of 60.43 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SE:NETI.B.

Net Insight AB Class B Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
KEBNI.B	62 Neutral	kr568.19M	794.83	1.24%	―	99.23%	―
NETI.B	61 Neutral	kr1.39B	923.86	0.15%	―	-12.55%	-98.16%
Sector *	56 Neutral	$292.94M	11.36	-18.08%	2.59%	10.30%	-47.61%
MAVEN	55 Neutral	kr502.07M	1,947.62	-6.07%	1.39%	-20.56%	-99.26%
INCOAX	49 Neutral	kr173.27M	―	-18.50%	―	24.96%	23.93%
ACCON	48 Neutral	kr379.50M	―	-10.88%	―	44.48%	59.15%
GAPW.B	46 Neutral	kr592.40M	―	-38.42%	―	91.56%	27.01%

Net Insight AB Class B Corporate Events

Net Insight AB Reports Decline in Sales Amid Market Challenges, Secures Major US Order

Net Insight AB reported a significant decline in net sales and earnings for the first half of 2025, impacted by a challenging market environment and currency effects. Despite these challenges, the company secured a historic USD 6 million order for its media solutions in the US and expanded its time synchronization customer base. The company has implemented a cost-saving program to counteract market hesitancy and is poised to launch a new 400G IP platform to address evolving market demands. The board has decided to pause the share buyback mandate to maintain financial flexibility amid macroeconomic uncertainties.

Net Insight AB to Release Interim Report and Host Web Conference

Net Insight AB announced the release of its interim report for the first half of 2025, scheduled for July 18, 2025. The report will be accompanied by a live web conference featuring presentations from CEO Crister Fritzson and CFO Cecilia Höjgård Höök. This event provides stakeholders with insights into the company’s financial performance and strategic direction, potentially impacting its market positioning and stakeholder engagement.

Net Insight Secures Landmark $6 Million U.S. Sports Venue Deal

Net Insight AB has secured a significant $6 million deal with a U.S. customer for its advanced media solutions, marking one of the largest contracts in the company’s history. This agreement, involving the delivery of Nimbra 1060s for live media transport, strengthens Net Insight’s presence in the U.S. market and underscores its strategic focus on expanding network capacity and remote production capabilities at sports venues. The deal highlights the company’s competitive edge and the trust placed in its technology, reinforcing its position as a leader in the managed solutions segment.

Net Insight Partners with Türk Telekom and Parallel Wireless to Drive 6G Open RAN Innovation

Net Insight, in collaboration with Türk Telekom and Parallel Wireless, is advancing the development of 6G Open RAN solutions by integrating innovative GPS/GNSS-independent synchronization technology into the standardized ORAN network architecture. This partnership aims to shape global 6G standards, enhance network security and reliability, and reduce costs by eliminating dependency on satellite systems, positioning the companies at the forefront of next-generation network innovation.

Net Insight Cancels Repurchased Shares to Optimize Structure

Net Insight AB has announced the cancellation of 6,838,570 repurchased B shares, following a resolution at the Annual General Meeting. This adjustment leaves the total number of shares at 341,404,439, maintaining the company’s share capital at SEK 13,929,720.36. This move is part of the company’s ongoing efforts to optimize its share structure, potentially impacting shareholder value and voting rights distribution.

Net Insight AB Announces Key Resolutions from 2025 Annual General Meeting

Net Insight AB held its Annual General Meeting on May 14, 2025, where several key resolutions were passed. These included the adoption of financial statements for 2024, the re-election of board members and auditors, and the approval of a long-term incentive program for senior executives. Additionally, the meeting resolved to reduce and subsequently restore the company’s share capital and authorized the board to repurchase and transfer shares to enhance capital efficiency and flexibility.

Net Insight AB Launches Cost-Savings Program to Boost Profitability

Net Insight AB has announced a cost-savings program aimed at enhancing profitability amid a challenging market environment. The initiative, expected to save SEK 25–30 million annually, includes a comprehensive review of the company’s cost base and immediate actions to reduce non-staff and headcount-related expenses. These measures are designed to protect long-term growth areas while improving scalability and cost efficiency, with full effects anticipated by the end of the year. CEO Crister Fritzson expressed confidence in the company’s strategic initiatives, particularly in media and time synchronization, to drive future success.