Stillfront Group AB (SF) AI Stock Analysis

• Market Cap: kr2.25B
• Dividend Yield: N/A
• Average Volume (3M): 2.19M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.44
• Revenue Growth: -11.82%
• EPS Growth: -7499.16%
• Country: SE
• Employees: 1,255
• Sector: Services
• Sector Strength: N/A
• Industry: Electronic Gaming & Multimedia
• EPS (TTM): -4.66
• Shares Outstanding: 517,968,500
• 10 Day Avg. Volume: 1,897,818
• 30 Day Avg. Volume: 2,190,783
• PEG Ratio: 0.02
• Price to Book (P/B): 0.82
• Price to Sales (P/S): 0.57
• P/FCF Ratio: 2.25
• 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: kr12.00
• Price Target Upside: 88.09% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): 1.29
• Revenue Forecast (FY): kr5.30B

• Rating: 46 Neutral
• Price Target: kr4.50 ▼(-29.47% Downside)
• Action: Reiterated Date: 02/06/26
• Date: Action: Reiterated 02/06/26

The score is held down primarily by weak financial performance (declining revenue, heavy recent losses, and a thinner equity cushion) and bearish technicals (below key moving averages with negative momentum). Support comes from strong cash generation and an earnings-call focus on improving margins, deleveraging, and DTC-driven mix benefits, but revenue contraction and impairment-related balance sheet damage remain key risks.

Positive Factors

Strong cash generation

Consistent, sizable free cash flow provides durable operational flexibility: it funds selective reinvestment, debt repayments and buybacks while supporting day-to-day live-ops. Strong FCF cushions near-term shocks and underpins a multi-quarter deleveraging path despite weak reported net income.

Improving margins and DTC mix

A higher gross margin and a meaningful shift toward direct-to-consumer bookings reduce reliance on paid UA and third-party monetization, structurally improving unit economics. This mix shift supports margin sustainability and profitability resilience across cycles, especially for live-service titles.

Franchise focus and cost discipline

Concentrating resources on proven, large franchises and cutting UA and operating costs increases capital allocation efficiency. A clearer franchise-led strategy plus demonstrated cost discipline should raise ROI on new investment, limit underperforming launches and improve longer-term margin conversion.

Negative Factors

Ongoing revenue decline

Multi-year organic revenue contraction reduces operating leverage and raises the bar for sustainable profit recovery. Even with cost cuts, declining topline constrains cash conversion durability, makes FCF more sensitive to single-title performance, and lengthens the time needed to return to structural growth.

Large impairment weakened equity

A material goodwill write-down signals weaker long-term cash expectations from acquisitions and erodes the equity cushion. Reduced book equity raises leverage metrics, limits balance-sheet flexibility for future M&A or investment, and increases the risk premium on recovery plans.

North America setback and launch delays

A severe revenue drop in a major market highlights product/monetization weaknesses and increases reliance on other regions. Combined with delayed major launches, this concentration and timing risk hinders the company’s ability to restore organic growth and slows diversification of revenue streams.

Stillfront Group AB Business Overview & Revenue Model

Company Description

Stillfront Group AB is a leading free-to-play gaming company that specializes in developing, publishing, and distributing games across various platforms, including PC, mobile, and console. Headquartered in Stockholm, Sweden, the company operates through a portfolio of multiple game studios, each focused on creating unique and engaging gaming experiences. Stillfront's core products include a diverse range of games that appeal to different audiences, with a strong emphasis on live operations and community engagement to enhance player retention and monetization.

How the Company Makes Money

Stillfront Group AB generates revenue primarily through in-game purchases and microtransactions within its free-to-play games. Players can buy virtual goods, upgrades, and in-game currency, which contributes significantly to the company's earnings. Additionally, Stillfront benefits from advertising revenue generated through in-game ads and partnerships with other gaming companies. The company also explores strategic acquisitions of game studios to expand its portfolio and enhance its market presence, which can lead to increased revenue streams from new and existing titles. Overall, the combination of direct player spending, advertising, and portfolio expansion through acquisitions constitutes the core of Stillfront's revenue model.

Stillfront Group AB Financial Statement Overview

Summary

Fundamentals are pressured: multi-year revenue declines and very large net losses in 2024–2025 weigh heavily, and leverage risk rose as equity shrank (higher debt-to-equity, deeply negative ROE). Offsetting this, operating cash flow and free cash flow are strong and improving, providing some resilience despite weak reported earnings quality.

Income Statement

Revenue has been declining for several years (down about 5.3% in 2025 after a modest decline in 2024 and 2023). Profitability deteriorated sharply: the company swung from modest profitability in 2022 (about 7.9% net margin) and near break-even in 2023 to sizable losses in 2024 and 2025 (net margin roughly -109.5% in 2024 and -42.0% in 2025). Gross margin also compressed materially versus earlier years, indicating weaker unit economics and/or higher costs. While reported operating profit in SEK is positive in 2024–2025, overall earnings quality is weak given the large net losses.

Balance Sheet

Leverage increased and the equity cushion shrank: debt-to-equity moved up to ~1.12 in 2025 from ~0.78 in 2024 and ~0.36 in 2023, reflecting both higher relative leverage and reduced equity. Returns to shareholders are deeply negative (return on equity about -60% in 2025 and about -99% in 2024), consistent with the heavy net losses. Total assets have also declined meaningfully since 2022–2023, suggesting balance sheet contraction. A positive is that absolute debt is not at peak levels versus 2024, but the risk profile has risen because equity has fallen.

Cash Flow

Cash generation is a relative bright spot: operating cash flow remained solid (about SEK 1.47B in 2025 and SEK 1.69B in 2024), and free cash flow improved materially in 2025 (up ~29.9% to about SEK 1.46B). Cash flow is also tracking close to accounting earnings signals in the provided dataset, with operating cash flow covering the stated earnings figure at ~1.03x in 2025 (and ~0.91x in 2024). The main weakness is volatility in free cash flow growth over time and the disconnect between strong cash generation and very weak reported net income, which raises questions about sustainability and underlying profitability.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	5.71B	6.74B	7.01B	7.06B	5.46B
Gross Profit	1.40B	1.40B	4.17B	7.67B	5.92B
EBITDA	-1.40B	-6.05B	2.24B	2.04B	1.68B
Net Income	-2.40B	-7.38B	7.00M	559.00M	590.00M
Balance Sheet
Total Assets	11.02B	16.37B	22.61B	24.13B	20.05B
Cash, Cash Equivalents and Short-Term Investments	701.00M	957.00M	807.00M	989.00M	1.13B
Total Debt	4.47B	5.86B	4.94B	4.76B	4.58B
Total Liabilities	7.04B	8.89B	8.76B	9.88B	10.25B
Stockholders Equity	3.99B	7.48B	13.84B	14.24B	9.77B
Cash Flow
Free Cash Flow	1.46B	1.07B	857.00M	971.00M	761.00M
Operating Cash Flow	1.47B	1.69B	1.69B	2.03B	1.62B
Investing Cash Flow	-1.11B	-1.14B	-1.67B	-3.76B	-4.18B
Financing Cash Flow	-505.00M	-452.00M	-175.00M	1.46B	2.62B

Stillfront Group AB Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 6.38
• 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:SF, the sentiment is Negative. The current price of 6.38 is above the 20-day moving average (MA) of 4.43, above the 50-day MA of 5.24, and above the 200-day MA of 5.98, indicating a bearish trend. The MACD of -0.23 indicates Negative momentum. The RSI at 37.84 is Neutral, neither overbought nor oversold. The STOCH value of 61.21 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:SF.

Stillfront Group AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PDX	61 Neutral	kr12.92B	103.97	22.69%	3.16%	-18.54%	71.38%
G5EN	61 Neutral	kr404.74M	12.96	12.65%	9.28%	-14.68%	-29.97%
MAGI	56 Neutral	kr143.07M	-11.23	-3.04%	13.12%	-3.51%	-192.91%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%
SF	46 Neutral	kr2.25B	-0.92	―	―	-11.82%	-7499.16%
EG7	44 Neutral	kr1.39B	-0.72	―	―	1.74%	-5214.06%
STAR.B	40 Underperform	kr140.98M	-0.34	-76.88%	―	8.38%	-48.41%

Stillfront Group AB Corporate Events

Stillfront to Shift to Single-Segment Reporting with Greater Focus on Key Game Franchises

Stillfront Group is overhauling its financial reporting from the first quarter of 2026, moving from three geographical segments to reporting the entire company as a single segment in order to align disclosures with its increasingly franchise-focused strategy. The group plans to offset the loss of regional granularity by providing expanded data and alternative performance metrics tied to its key game franchises, a shift intended to give investors greater transparency into the performance and value creation of its most important titles and underlying assets.

The most recent analyst rating on (SE:SF) stock is a Hold with a SEK5.00 price target. To see the full list of analyst forecasts on Stillfront Group AB stock, see the SE:SF Stock Forecast page.

Stillfront takes SEK 2.3bn non-cash impairment as 2025 revenue and earnings decline

Stillfront Group will book a non-cash impairment of SEK 2,258 million, equivalent to about 20% of its goodwill and other intangible assets, mainly related to its Europe and North America businesses, but stressed that the charge will not affect cash flow or day-to-day operations. Preliminary 2025 figures show declining net revenue and adjusted EBITDAC versus 2024, largely driven by weaker performance in North America and Europe and FX headwinds, partly offset by strong MENA & APAC growth and a higher-margin mix that lifted gross and adjusted EBITDAC margins, while free cash flow also eased on negative working capital movements ahead of the company’s full year report on 4 February 2026.

The most recent analyst rating on (SE:SF) stock is a Hold with a SEK5.50 price target. To see the full list of analyst forecasts on Stillfront Group AB stock, see the SE:SF Stock Forecast page.

Stillfront Sets Date for 2025 Year-End Results and Investor Webcast

Stillfront Group has scheduled the release of its year-end report for 2025 on 4 February 2026, with results to be published early in the morning and followed by a live webcast later that day. President and Group CEO Alexis Bonte and CFO Emily Villatte will present the figures and take questions in English via both webcast and teleconference, signaling management’s intent to engage actively with investors and analysts around the company’s full-year performance and outlook.

The most recent analyst rating on (SE:SF) stock is a Hold with a SEK5.50 price target. To see the full list of analyst forecasts on Stillfront Group AB stock, see the SE:SF Stock Forecast page.

Emily Villatte Assumes Role as Stillfront Group CFO Ahead of Schedule

Stillfront Group AB has announced that Emily Villatte has started her role as the Group Chief Financial Officer earlier than planned, assuming her responsibilities on December 8, 2025. This change in leadership is expected to bring stability and continuity to the company’s financial operations, with Tim Holland resuming his position as Deputy Group CFO.

The most recent analyst rating on (SE:SF) stock is a Hold with a SEK6.00 price target. To see the full list of analyst forecasts on Stillfront Group AB stock, see the SE:SF Stock Forecast page.