Precise Biometrics AB (PREC) AI Stock Analysis

• Market Cap: kr225.95M
• Dividend Yield: N/A
• Average Volume (3M): 211.72K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.63
• Revenue Growth: 6.33%
• EPS Growth: 39.32%
• Country: SE
• Employees: 35
• Sector: Technology
• Sector Strength: 88
• Industry: Security & Protection Services
• EPS (TTM): -0.07
• Shares Outstanding: 77,379,326
• 10 Day Avg. Volume: 93,074
• 30 Day Avg. Volume: 211,724
• PEG Ratio: 0.63
• Price to Book (P/B): 2.56
• Price to Sales (P/S): 4.45
• P/FCF Ratio: -301.74
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 48 Neutral
• Price Target: kr3.00 ▲(5.63% Upside)

The overall score reflects the company's strong balance sheet but significant challenges in profitability and cash flow. Technical indicators suggest a neutral trend, while the negative P/E ratio highlights ongoing financial difficulties.

Precise Biometrics AB Business Overview & Revenue Model

Company Description

Precise Biometrics AB (PREC) is a Swedish technology company specializing in biometric software and solutions, primarily focusing on fingerprint recognition and identity verification. The company operates in sectors such as mobile security, access control, and digital identity management, offering products that enhance security and user convenience across various devices and applications. Precise Biometrics develops its core product, the Precise BioMatch algorithm, which is used in smartphones, tablets, and smart cards to provide secure and efficient fingerprint authentication.

How the Company Makes Money

Precise Biometrics generates revenue primarily through the licensing of its biometric software and solutions to device manufacturers, service providers, and enterprises. The company has established key revenue streams from software licenses, royalties, and maintenance agreements associated with its fingerprint recognition technology. Additionally, Precise Biometrics engages in strategic partnerships with hardware manufacturers and technology companies to integrate its biometric solutions into their products, further expanding its market reach. The demand for secure biometric authentication in mobile devices and other applications contributes significantly to the company's earnings.

Precise Biometrics AB Financial Statement Overview

Summary

Precise Biometrics AB shows revenue growth but struggles with profitability and cash flow stability. The balance sheet is strong with low leverage, but persistent net losses and cash flow volatility are concerning.

Income Statement

The company shows a mixed performance in its income statement. The TTM data indicates a revenue growth rate of 23.7%, which is a positive sign. However, the company has been struggling with profitability, as evidenced by negative net profit margins and EBIT margins over the periods. The gross profit margin remains relatively strong at 73.1% in TTM, but the consistent net losses highlight ongoing challenges in cost management and operational efficiency.

Balance Sheet

The balance sheet reflects a stable financial position with a low debt-to-equity ratio of 0.13 in TTM, indicating prudent leverage management. However, the return on equity remains negative, suggesting inefficiencies in generating returns for shareholders. The equity ratio is strong, showing a solid capital structure, but the company needs to improve its profitability to enhance shareholder value.

Cash Flow

Cash flow analysis reveals significant volatility, with a sharp decline in free cash flow growth in the TTM period. The operating cash flow to net income ratio is positive, indicating some level of cash generation from operations, but the free cash flow to net income ratio is low, reflecting challenges in converting earnings into free cash flow. The company needs to stabilize its cash flow generation to support future growth and investment.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	85.38M	86.85M	75.07M	91.02M	83.32M	92.35M
Gross Profit	62.38M	63.07M	47.82M	65.04M	63.54M	77.77M
EBITDA	-13.68M	14.40M	-985.00K	-1.00M	-9.30M	-3.32M
Net Income	-12.86M	-8.43M	-26.40M	-22.23M	-13.45M	-12.16M
Balance Sheet
Total Assets	190.31M	203.07M	212.66M	213.22M	241.05M	152.95M
Cash, Cash Equivalents and Short-Term Investments	33.58M	37.70M	47.53M	46.41M	64.10M	76.26M
Total Debt	18.62M	9.59M	4.52M	32.73M	7.59M	6.80M
Total Liabilities	52.24M	51.90M	53.35M	66.92M	113.00M	38.91M
Stockholders Equity	138.07M	151.16M	159.32M	146.30M	128.05M	114.04M
Cash Flow
Free Cash Flow	293.00K	-1.28M	-26.08M	-17.81M	-21.07M	4.00M
Operating Cash Flow	12.44M	10.05M	-10.76M	3.93M	-1.49M	21.79M
Investing Cash Flow	-18.32M	-17.50M	-25.32M	-60.01M	-30.26M	-17.79M
Financing Cash Flow	-2.07M	-2.54M	37.29M	38.31M	19.54M	-1.38M

Precise Biometrics AB Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.84
• 50DMA: Negative
• 100DMA: Negative
• 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:PREC, the sentiment is Negative. The current price of 2.84 is below the 20-day moving average (MA) of 2.90, below the 50-day MA of 2.88, and below the 200-day MA of 3.46, indicating a bearish trend. The MACD of -0.02 indicates Positive momentum. The RSI at 46.78 is Neutral, neither overbought nor oversold. The STOCH value of 74.39 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:PREC.

Precise Biometrics AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	―	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
LEVEL	―	€125.69M	―	-5.16%	―	-3.99%	33.17%
PREC	―	kr225.95M	―	-8.90%	―	6.33%	39.32%
IRIS	―	kr32.57M	―	-41.14%	―	-37.37%	23.11%
TSEC	―	kr115.32M	―	―	―	2.14%	-205444.83%

Precise Biometrics AB Corporate Events

Precise Biometrics Enhances Visitor Management with New Access Control Features

Precise Biometrics has enhanced its visitor management system, Precise Visit by EastCoast, with new access control capabilities, integrating biometric authentication and QR code access. This update aligns with market trends for higher security and seamless digital experiences, strengthening Precise’s position in the Scandinavian and global markets. The development supports various use cases, such as unmanned front desks and multi-tenant environments, and is part of Precise’s strategy to expand geographically and increase cloud-based subscriptions.

The most recent analyst rating on (SE:PREC) stock is a Hold with a SEK3.50 price target. To see the full list of analyst forecasts on Precise Biometrics AB stock, see the SE:PREC Stock Forecast page.

Precise Biometrics Expands with Synthetic Biometric Data Integration

Precise Biometrics is integrating synthetic biometric data into its product development and offering it as a service, addressing the growing demand for large-scale biometric datasets. This initiative enhances security, user experience, and privacy, while supporting global organizations in delivering secure solutions more efficiently. By leveraging synthetic data, Precise strengthens its position in AI, biometrics, and cybersecurity, ensuring faster development of trusted authentication and identification solutions.

The most recent analyst rating on (SE:PREC) stock is a Hold with a SEK2.50 price target. To see the full list of analyst forecasts on Precise Biometrics AB stock, see the SE:PREC Stock Forecast page.

Precise Biometrics Partners with Avigilon to Enhance Biometric Access Control

Precise Biometrics has partnered with Avigilon, a Motorola Security Solutions company, to integrate its biometric access solution, Precise Access, into Avigilon’s security suite. This collaboration enhances secure physical access by combining Precise’s biometric authentication with Avigilon’s security ecosystem, offering a streamlined solution with two-factor authentication for enhanced security and user convenience. The partnership is expected to expand the reach of Precise’s technology through Avigilon’s extensive partner network, marking a significant milestone in the adoption of biometric security solutions.

The most recent analyst rating on (SE:PREC) stock is a Hold with a SEK2.50 price target. To see the full list of analyst forecasts on Precise Biometrics AB stock, see the SE:PREC Stock Forecast page.

Precise Biometrics to Showcase Innovations at Redeye CyberSecurity Day 2025

Precise Biometrics is set to participate in the Redeye CyberSecurity Day 2025 in Stockholm, where CEO Joakim Nydemark will present the company’s advancements in biometric authentication and AI-driven anti-spoofing technologies. This participation underscores Precise’s commitment to enhancing digital trust and addressing the growing demand for secure identity solutions in the evolving cybersecurity landscape.

The most recent analyst rating on (SE:PREC) stock is a Hold with a SEK2.50 price target. To see the full list of analyst forecasts on Precise Biometrics AB stock, see the SE:PREC Stock Forecast page.

Precise Biometrics AB Reports Strong First Half of 2025

Precise Biometrics AB has released its interim report for the first half of 2025, highlighting its continued innovation and leadership in the biometrics and cybersecurity sectors. The company’s focus on expanding its market presence through advanced biometric solutions positions it strongly within the industry, benefiting stakeholders and enhancing its competitive edge.

Precise Biometrics Announces Q2 2025 Interim Report and Q&A Session

Precise Biometrics is set to release its Q2 2025 interim report on August 15, accompanied by a video interview with CEO Joakim Nydemark. A live Q&A session with the CEO and CFO Maria Wester will follow, providing stakeholders an opportunity to engage directly with the company’s leadership. This event underscores Precise Biometrics’ commitment to transparency and stakeholder engagement, potentially impacting investor confidence and market positioning.