Precise Biometrics AB (PREC) AI Stock Analysis

• Market Cap: kr171.01M
• Dividend Yield: N/A
• Average Volume (3M): 120.07K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.82
• Revenue Growth: -3.27%
• EPS Growth: -23.22%
• Country: SE
• Employees: 35
• Sector: General
• Sector Strength: N/A
• Industry: Security & Protection Services
• EPS (TTM): 0.00
• Shares Outstanding: 77,379,326
• 10 Day Avg. Volume: 173,723
• 30 Day Avg. Volume: 120,071
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 42 Neutral
• Price Target: kr2.50 ▲(12.11% Upside)

Precise Biometrics AB's overall stock score is primarily impacted by its financial performance and technical analysis. The company faces significant financial challenges with declining revenues and profitability issues, reflected in a low financial performance score. Technical indicators suggest bearish momentum, further lowering the score. Valuation metrics are unfavorable due to the negative P/E ratio and lack of dividend yield, indicating difficulties in achieving profitability.

Positive Factors

Strong Gross Profit Margin

A strong gross profit margin indicates efficient cost management and pricing power, which can support long-term profitability if revenue growth stabilizes.

Low Leverage

Low leverage provides financial flexibility and reduces risk, allowing the company to navigate challenging periods without significant debt burdens.

Proprietary Technology

Proprietary technology in biometric solutions can create a competitive edge, fostering long-term partnerships and integration into diverse applications.

Negative Factors

Declining Revenue

Declining revenue indicates challenges in market demand or competition, which can impact long-term growth and sustainability if not addressed.

Negative Free Cash Flow

Negative free cash flow constrains the ability to invest in growth opportunities and may necessitate external financing, impacting financial stability.

Profitability Issues

Ongoing profitability issues highlight operational inefficiencies, which can hinder long-term financial health and shareholder returns if not resolved.

Precise Biometrics AB Business Overview & Revenue Model

Company Description

Precise Biometrics AB (publ) offers identification software for the secure authentication of people's identity in Europe, Asia, and the United States. It provides Precise YOUNiQ that verifies digital identity; Precise BioMatch Card, a fingerprint algorithm solution for identity authentication in smart cards; Precise BioMatch Mobile, a fingerprint algorithm solution for identity authentication in smartphones and tablets; and Precise BioLive, a fingerprint software that identifies a fake fingerprint. The company offers its products to sensor manufacturers, security companies, and system integrators, as well as finance, betting, healthcare, and transport sectors. Precise Biometrics AB (publ) was incorporated in 1997 and is headquartered in Lund, Sweden.

How the Company Makes Money

Precise Biometrics generates revenue primarily through the sale of its biometric software and licensing agreements with device manufacturers and technology partners. Key revenue streams include software license fees for its fingerprint recognition solutions, which are integrated into smartphones, tablets, and other devices. The company also earns income from maintenance and support services related to its software products. Strategic partnerships with leading technology firms and manufacturers facilitate broader market reach and product adoption, contributing to the company’s earnings. Additionally, Precise Biometrics may engage in collaborative projects that further enhance its product offerings and revenue potential.

Precise Biometrics AB Financial Statement Overview

Summary

Precise Biometrics AB demonstrates growth in revenue but faces challenges in profitability and cash flow stability. The company maintains a strong balance sheet with low leverage, but persistent net losses and cash flow volatility pose risks. Improving operational efficiency and cash flow management will be crucial for enhancing financial performance and shareholder value in the future.

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	82.58M	86.85M	75.07M	91.02M	83.32M	92.35M
Gross Profit	60.61M	63.07M	47.82M	65.04M	63.54M	77.77M
EBITDA	-15.47M	14.40M	-1.69M	-1.02M	-9.30M	-3.32M
Net Income	-14.91M	-8.43M	-26.40M	-22.23M	-13.45M	-12.16M
Balance Sheet
Total Assets	184.21M	203.07M	212.66M	213.22M	241.05M	152.95M
Cash, Cash Equivalents and Short-Term Investments	31.27M	37.70M	47.53M	46.41M	64.10M	76.26M
Total Debt	18.01M	25.87M	4.52M	32.73M	7.59M	6.80M
Total Liabilities	46.81M	51.90M	53.35M	66.92M	113.00M	38.91M
Stockholders Equity	137.40M	151.16M	159.32M	146.30M	128.05M	114.04M
Cash Flow
Free Cash Flow	-2.06M	-1.28M	-26.08M	-17.81M	-21.07M	4.00M
Operating Cash Flow	10.83M	10.05M	-10.76M	3.93M	-1.49M	21.79M
Investing Cash Flow	-19.06M	-17.50M	-25.32M	-60.01M	-30.26M	-17.79M
Financing Cash Flow	-2.00M	-2.54M	37.29M	38.31M	19.54M	-1.38M

Precise Biometrics AB Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.23
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• 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 2.23 is below the 20-day moving average (MA) of 2.30, below the 50-day MA of 2.54, and below the 200-day MA of 3.16, indicating a bearish trend. The MACD of -0.09 indicates Negative momentum. The RSI at 36.22 is Neutral, neither overbought nor oversold. The STOCH value of 31.17 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 *	55 Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
LEVEL	54 Neutral	kr124.43M	-50.17	-1.58%	―	2.70%	85.94%
TSEC	52 Neutral	kr131.04M	-2.41	―	―	9.39%	-378.80%
IRIS	45 Neutral	kr69.54M	-0.11	-44.40%	―	-41.32%	34.95%
PREC	42 Neutral	kr171.01M	-11.63	-10.30%	―	-3.27%	-23.22%

Precise Biometrics AB Corporate Events

Precise Biometrics Unveils Next-Gen Biometric Matching Engine

Precise Biometrics has launched BioMatch Vizo, its fifth-generation AI-driven biometric matching engine for fingerprint recognition. This new technology offers enhanced accuracy, security, and user experience, setting a new benchmark in biometric authentication. The engine is designed to support smaller ultrasonic sensors, targeting the mid-range mobile phone market, and offers significant improvements in handling diverse conditions and sensor sizes. The new architecture strengthens anti-spoofing measures and reduces time-to-market for sensor manufacturers and OEMs, while end users benefit from faster authentication and increased security. The first release is expected in late 2025, with broader availability in early 2026.

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 and SecuGen Launch Anti-Spoofing Solution for National ID Programs

Precise Biometrics, in collaboration with SecuGen, has launched an anti-spoofing and liveness detection solution aimed at enhancing security in national identity programs globally. This joint solution integrates Precise’s BioLive software with SecuGen’s certified scanners, offering advanced protection against identity fraud while ensuring a seamless user experience. The initiative supports the UN’s Sustainable Development Goal of providing legal identity for all, facilitating secure access to essential services for billions of individuals.

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 Releases Interim Report for Q3 2025

Precise Biometrics AB has released its interim report for January to September 2025, highlighting its continued innovation in biometric and cybersecurity solutions. The company’s focus on biometric authentication for various applications, including mobile devices and vehicle systems, positions it strongly in the market, potentially enhancing its operational capabilities and stakeholder value.

The most recent analyst rating on (SE:PREC) stock is a Hold with a SEK3.00 price target. To see the full list of analyst forecasts on Precise Biometrics AB stock, see the SE:PREC Stock Forecast page.

Precise Biometrics Announces Q3 2025 Interim Report Release and Q&A Session

Precise Biometrics has announced the release of its Q3 2025 interim report, scheduled for November 14, 2025. The company will provide insights into the report through a video interview with CEO Joakim Nydemark and a live Q&A session with both the CEO and CFO Maria Wester. This event aims to engage investors, analysts, and the press, offering them the opportunity to ask questions and gain a deeper understanding of the company’s performance and strategic direction. The announcement highlights Precise Biometrics’ commitment to transparency and stakeholder engagement, which could enhance its industry positioning and investor relations.

The most recent analyst rating on (SE:PREC) stock is a Hold with a SEK3.00 price target. To see the full list of analyst forecasts on Precise Biometrics AB stock, see the SE:PREC Stock Forecast page.

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.