Safello Group AB (SFL) AI Stock Analysis

• Market Cap: kr77.71M
• Dividend Yield: N/A
• Average Volume (3M): 22.02K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.47
• Revenue Growth: 5.70%
• EPS Growth: -142.93%
• Country: SE
• Employees: 25
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): -0.06
• Shares Outstanding: 20,449,600
• 10 Day Avg. Volume: 29,094
• 30 Day Avg. Volume: 22,024
• PEG Ratio: >-0.01
• Price to Book (P/B): 2.69
• Price to Sales (P/S): 0.15
• P/FCF Ratio: 65.57
• 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: 54 Neutral
• Price Target: kr4.00 ▼(-4.76% Downside)

The score is supported mainly by improved financial performance and a conservative, debt-free balance sheet, but is held back by weak cash-flow conversion/volatility and thin margins. Technical signals are bearish (below key moving averages with negative MACD), and valuation is less supportive given the negative P/E and no dividend data.

Positive Factors

Debt-Free Balance Sheet

A debt-free balance sheet reduces financial risk and provides flexibility for future investments or weathering downturns.

Revenue Rebound

The revenue rebound indicates recovery and potential growth, suggesting improved market conditions and business execution.

Improved Cash Flow

Improved cash flow enhances financial stability, allowing for reinvestment in growth opportunities and reducing reliance on external financing.

Negative Factors

Thin Profit Margins

Thin margins limit profitability and buffer against market volatility, potentially impacting long-term financial health.

Weak Cash Conversion

Weak cash conversion indicates potential issues with earnings quality and working capital management, affecting financial resilience.

Volatile Free Cash Flow

Volatile free cash flow can hinder strategic planning and investment, posing challenges to sustaining long-term growth.

Safello Group AB Business Overview & Revenue Model

Company Description

Safello Group AB (publ) engages in the cryptocurrency brokerage business. It operates brokerage platform enables individuals and companies to buy, store, and sell cryptocurrencies, including Bitcoin, Ethereum, Chainlink, Polkadot, and Polygon in Swedish kronor. The company offers its services through various platforms and products, such as Safello Web App and Safello Mobile. Safello Group AB (publ) was founded in 2013 and is based in Stockholm, Sweden.

How the Company Makes Money

Safello Group AB generates revenue primarily through transaction fees charged on cryptocurrency purchases and sales executed on its platform. The company earns a percentage of each transaction, which serves as its main revenue stream. Additionally, Safello may partner with financial institutions or payment service providers to enhance its service offerings, potentially earning additional income through collaborative initiatives. The company's focus on compliance and security also positions it well to attract institutional clients, potentially contributing to its revenue growth.

Safello Group AB Financial Statement Overview

Summary

Overall, Safello Group AB's financial statements reflect a company on the path to recovery with solid improvements in profitability, financial stability, and cash flow management. The income statement shows strong revenue growth and improved margins, while the balance sheet highlights a robust equity position and no debt. Cash flow has turned positive, indicating better financial health. The company is well-positioned for future growth, but maintaining these positive trends will be crucial to sustaining financial stability.

Income Statement

Safello Group AB's income statement shows a significant improvement in profitability. The Gross Profit Margin increased from negative figures in 2022 to a positive 3.9% in 2024. The Net Profit Margin also turned positive, reaching 1.2% in 2024 from losses in previous years. Revenue growth is strong, with a 37.6% increase from 2023 to 2024. EBIT and EBITDA margins showed positive trends, indicating better operational efficiency. Despite past years of losses, the recent financial year indicates robust recovery and growth potential.

Balance Sheet

The balance sheet of Safello Group AB demonstrates financial stability with a strong equity position. The Debt-to-Equity Ratio is at 0, reflecting no leverage and a solid capital structure. The Equity Ratio remained high, at 82.9% in 2024, showcasing a healthy balance of equity to assets. Return on Equity turned positive at 21%, indicating efficient use of equity in generating profits. The company's balance sheet suggests a low-risk profile with no debt, providing a strong foundation for future growth.

Cash Flow

Safello Group AB's cash flow statement reveals a turnaround in cash flow management. Operating Cash Flow improved significantly from negative in 2023 to positive in 2024. Free Cash Flow transitioned from negative to positive, indicating improved cash generation capabilities. The Free Cash Flow to Net Income Ratio is 0.21, reflecting a cautious yet positive cash flow position. Although cash flow from operations is positive, the company should focus on sustaining and improving these cash flow trends.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	716.24M	766.95M	561.11M	634.90M	757.90M	315.01M
Gross Profit	40.93M	34.12M	22.62M	-3.15M	36.90M	15.69M
EBITDA	2.72M	10.85M	-2.02M	-12.36M	-11.29M	2.80M
Net Income	-1.58M	9.00M	-447.00K	-21.50M	-14.79M	882.00K
Balance Sheet
Total Assets	42.77M	51.79M	41.06M	41.51M	62.86M	28.18M
Cash, Cash Equivalents and Short-Term Investments	18.51M	24.92M	17.33M	21.38M	34.60M	17.01M
Total Debt	0.00	0.00	0.00	0.00	19.00K	0.00
Total Liabilities	7.59M	8.85M	6.68M	7.13M	6.98M	5.44M
Stockholders Equity	35.19M	42.94M	34.38M	34.38M	55.88M	22.74M
Cash Flow
Free Cash Flow	741.00K	1.76M	-4.50M	-13.33M	-21.66M	2.45M
Operating Cash Flow	741.00K	1.90M	-4.39M	-12.16M	-11.12M	2.87M
Investing Cash Flow	-221.00K	5.46M	-113.00K	-1.10M	-12.47M	-13.15K
Financing Cash Flow	0.00	239.00K	447.00K	0.00	41.18M	10.90M

Safello Group AB Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4.20
• 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:SFL, the sentiment is Negative. The current price of 4.2 is below the 20-day moving average (MA) of 4.28, below the 50-day MA of 4.87, and below the 200-day MA of 5.69, indicating a bearish trend. The MACD of -0.29 indicates Positive momentum. The RSI at 32.64 is Neutral, neither overbought nor oversold. The STOCH value of 27.77 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:SFL.

Safello Group AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
SFL	54 Neutral	kr77.71M	-43.41	-5.80%	―	5.70%	-142.93%
SFTR	54 Neutral	kr175.23M	157.14	―	―	―	―
GREAT	45 Neutral	kr336.21M	-5.31	―	―	-69.94%	-7367.66%
TERRNT.B	43 Neutral	kr124.64M	-2.03	-188.09%	―	―	24.94%
RPLAN	42 Neutral	kr47.43M	-2.06	―	―	―	―