Sonetel AB (SONE) AI Stock Analysis

• Market Cap: kr61.71M
• Dividend Yield: N/A
• Average Volume (3M): 1.43K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.29
• Revenue Growth: 2.21%
• EPS Growth: -671.56%
• Country: SE
• Employees: 39
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): -0.24
• Shares Outstanding: 7,571,381
• 10 Day Avg. Volume: 2,196
• 30 Day Avg. Volume: 1,434
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: kr10.50
• Price Target Upside: 38.16% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 56 Neutral
• Price Target: kr10.50 ▲(38.16% Upside)

Sonetel AB's overall stock score is primarily influenced by its financial performance challenges, including consistent net losses and cash flow issues. Despite these concerns, the stock shows strong technical indicators suggesting positive market momentum. However, the negative P/E ratio reflects valuation concerns.

Sonetel AB Business Overview & Revenue Model

Company Description

Sonetel AB (SONE) is a Swedish company that offers communication services primarily targeting small and medium-sized businesses. The company specializes in providing virtual phone numbers, cloud-based PBX systems, and various communication solutions designed to enhance business connectivity and customer interaction. Sonetel's platform allows businesses to manage calls, messages, and customer interactions through a unified system that is cost-effective and easy to use.

How the Company Makes Money

Sonetel AB generates revenue through subscription fees for its communication services, including virtual phone numbers and cloud-based PBX systems. Customers pay monthly or annual fees based on their selected service package, which can include features such as call forwarding, voicemail, and international calling. The company may also earn income from additional services, such as premium features or pay-as-you-go usage. Key partnerships with telecom providers and technology platforms enhance its service offerings and expand its customer base, contributing to its revenue generation.

Sonetel AB Financial Statement Overview

Summary

Sonetel AB is experiencing consistent net losses impacting its financial health. While revenue remains stable, the company faces challenges in profitability and cash flow management, which are critical for long-term sustainability.

Income Statement

Sonetel AB has seen a stable revenue with minor fluctuations over the years, but the company is currently experiencing negative net income, impacting overall profitability. The gross profit margin is healthy, but the net profit margin is negative due to consistent net losses. While EBITDA margin shows potential operational efficiency, EBIT margin has been volatile, indicating challenges in managing operating expenses.

Balance Sheet

The company's debt-to-equity ratio is moderate, suggesting a balanced approach to leveraging. However, the return on equity is negative due to recurring net losses, which is concerning. The equity ratio indicates a stable financial structure, though the declining stockholder's equity over recent years poses a risk to financial stability.

Cash Flow

Sonetel AB's cash flow situation is challenging, with negative free cash flow growth observed. The operating cash flow to net income ratio is positive, suggesting operational activities are generating cash despite net income losses. However, the free cash flow to net income ratio is negative, emphasizing cash flow constraints.

Breakdown	TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement
Total Revenue	24.04M	23.38M	23.37M	21.18M	21.89M	27.37M
Gross Profit	8.94M	8.85M	9.69M	15.76M	16.49M	20.22M
EBITDA	6.64M	7.51M	950.11K	6.02M	1.50M	4.68M
Net Income	-4.09M	-2.21M	-768.32K	-1.75M	-6.79M	-1.84M
Balance Sheet
Total Assets	42.52M	40.59M	40.26M	40.09M	41.79M	52.57M
Cash, Cash Equivalents and Short-Term Investments	896.38K	267.80K	714.83K	421.55K	281.80K	293.71K
Total Debt	7.21M	7.66M	7.07M	6.96M	8.76M	6.97M
Total Liabilities	12.27M	19.82M	18.32M	17.63M	18.71M	22.03M
Stockholders Equity	30.25M	20.76M	21.93M	22.45M	23.07M	30.53M
Cash Flow
Free Cash Flow	2.57M	-1.23M	-661.85K	861.55K	-102.44K	-6.01M
Operating Cash Flow	2.60M	2.66M	6.08M	5.28M	3.49M	5.19M
Investing Cash Flow	-8.33M	-7.71M	-6.74M	-4.43M	-3.55M	-11.03M
Financing Cash Flow	6.18M	1.06M	956.67K	-705.30K	39.24K	5.39M

Sonetel AB Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 7.60
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:SONE, the sentiment is Negative. The current price of 7.6 is below the 20-day moving average (MA) of 8.42, below the 50-day MA of 8.85, and above the 200-day MA of 6.02, indicating a neutral trend. The MACD of -0.19 indicates Positive momentum. The RSI at 39.40 is Neutral, neither overbought nor oversold. The STOCH value of 28.01 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:SONE.

Sonetel AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SONE	56 Neutral	kr61.71M	―		―	2.21%	-671.56%
ZAPLOX	49 Neutral	32.42M	-2.03	0.00%	―	16.19%	48.78%
IRIS	41 Neutral	29.57M	-0.08	-34.79%	―	-37.37%	23.11%
WYLD	40 Underperform	24.25M	-0.04	0.00%	―	31.64%	80.70%
SILEON	40 Underperform	9.42M	-0.25	-147.73%	―	-86.29%	75.49%
CYB1	36 Underperform	3.86M	-2.56	0.00%	―	0.00%	0.00%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%