TalkPool AG (TALK) AI Stock Analysis

• Market Cap: kr116.36M
• Dividend Yield: N/A
• Average Volume (3M): 17.56K
• Price to Earnings (P/E): 7.3
• Beta (1Y): 0.21
• Revenue Growth: 0.44%
• EPS Growth: 80.01%
• Country: SE
• Employees: 250
• Sector: Communication Services
• Sector Strength: 97
• Industry: Telecommunications Services
• EPS (TTM): 0.58
• Shares Outstanding: 7,655,579
• 10 Day Avg. Volume: 22,846
• 30 Day Avg. Volume: 17,559
• PEG Ratio: 0.51
• Price to Book (P/B): 4.14
• Price to Sales (P/S): 0.23
• P/FCF Ratio: 2.85
• 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: 75 Outperform
• Price Target: kr16.50 ▲(3.13% Upside)
• Action: Upgraded Date: 01/13/26
• Date: Action: Upgraded 01/13/26

The score is driven mainly by sharply improved financial fundamentals (cleaner balance sheet, better profitability, and positive cash flow), supported by a strong technical uptrend. A low P/E adds valuation support, while historical earnings/cash-flow volatility and near-term overbought signals temper the overall rating.

Positive Factors

De-risked balance sheet

Reporting zero TTM debt and positive equity materially reduces financial distress risk versus prior years. This durable improvement expands capacity to bid for multi-year telecom/IoT contracts, lowers financing dependency and interest burden, and improves counterparty confidence over the medium term.

Improving profitability and cash generation

Sustained improvement in net margin and positive operating/free cash flow supports reinvestment in network deployments and product development. Higher margin and cash generation strengthen operating resilience, help fund working capital for projects, and improve long-term self-funding capacity.

Diversified revenue model with long-term contracts

Multiple revenue streams—deployment/maintenance services, IoT HW/SW, partnerships and government smart-city projects—create recurring and contractual revenue that persistently reduces single-customer concentration, increases customer stickiness, and stabilizes revenue across economic cycles.

Negative Factors

Cash flow volatility and conversion

Although cash is currently positive, uneven conversion (FCF ~70% of net income) and prior negative operating cash years highlight persistent working-capital and project-timing variability. This structural cash volatility can constrain capex planning, dividend/return policies, and makes financing needs less predictable.

Historic earnings volatility and prior negative equity

A history of losses and negative equity leaves a legacy risk: counterparties and lenders may remain cautious despite current recovery. Structural credibility and covenant headroom can be limited, increasing costs of capital and constraining large contract wins or scaling without demonstrable multi-quarter stability.

Modest capital base and scale

A small asset and equity base limits the company's capacity to underwrite large infrastructure projects or absorb execution overruns. Over the medium term this structural scale constraint may force reliance on partners or external financing for bigger deployments, adding execution and financing risk.

TalkPool AG Business Overview & Revenue Model

Company Description

TalkPool AG provides service networks and solutions for telecommunications operators, system vendors, and prime contractors. The company offers network planning, remote site management, and documentation services; implementation, operation, and maintenance services; repair and refurbishing services; and camouflage solutions. It provides professional services and solutions comprising a range of design, creation, and realization of IoT solutions and products. The company operates in Switzerland, Europe, the Americas, the Middle East, and Africa. TalkPool AG was founded in 2000 and is headquartered in Chur, Switzerland.

How the Company Makes Money

TalkPool generates revenue through multiple streams, primarily from its telecommunications infrastructure services and IoT solutions. The company charges clients for network deployment and maintenance services, which are often contracted over long-term agreements. Additionally, it earns income from selling IoT hardware and software solutions, enabling clients to leverage data for improved decision-making. Strategic partnerships with telecom operators and technology providers further enhance its market reach and service offerings, contributing to its overall revenue. Furthermore, the company may benefit from government contracts related to smart city initiatives and infrastructure projects, providing a stable income source.

TalkPool AG Financial Statement Overview

Summary

Financials have improved materially: higher profitability (TTM net margin ~7.6% vs ~5.5% in 2024), a significantly de-risked balance sheet (TTM debt reported at 0 and positive equity vs prior negative-equity years), and positive operating/free cash flow. The score is held back by historical volatility (prior loss/negative-equity periods) and uneven cash conversion (FCF ~70% of net income; multi-year cash flow choppiness).

Income Statement

Profitability has improved meaningfully: TTM (Trailing-Twelve-Months) net margin is ~7.6% vs ~5.5% in 2024, with operating profitability also higher. Revenue momentum is strong in TTM (reported growth ~123%), following a relatively flat 2024 and a sharp decline in 2023—so the trajectory is positive but somewhat volatile over the last few years. Gross margin is steady around ~27%, suggesting decent pricing/contract economics, while longer-term history includes loss years (2020–2021), which keeps the score below the top tier.

Balance Sheet

The balance sheet shows a major de-risking: TTM (Trailing-Twelve-Months) total debt is reported at 0 with positive equity (~1.7M), versus high leverage in 2024 (debt-to-equity ~2.5) and negative equity in 2021–2023. Total assets are stable (~6.3M TTM), and reported return on equity is very high, reflecting the sharp earnings rebound on a still-modest equity base. Key watch-out: the company only recently exited a stressed capital structure, so durability of the improvement remains the main risk.

Cash Flow

Cash generation is solid but not pristine. TTM (Trailing-Twelve-Months) operating cash flow (~1.49M) and free cash flow (~1.04M) are positive, but free cash flow is down ~10% versus the prior period and converts to ~70% of net income, indicating not all earnings are translating into cash. The multi-year pattern is choppy (notably negative operating/free cash flow in 2023 and 2020), which suggests working-capital or project timing swings can materially affect cash outcomes.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	16.73M	15.76M	15.61M	25.50M	24.50M	21.22M
Gross Profit	4.51M	4.25M	3.82M	6.47M	5.77M	5.41M
EBITDA	1.80M	1.58M	1.81M	2.69M	830.18K	1.15M
Net Income	1.27M	859.73K	790.71K	1.22M	-334.47K	-985.96K
Balance Sheet
Total Assets	6.28M	5.99M	6.24M	8.11M	11.66M	11.05M
Cash, Cash Equivalents and Short-Term Investments	617.32K	1.41M	1.04M	1.53M	1.51M	1.07M
Total Debt	0.00	2.19M	3.11M	4.57M	7.17M	6.30M
Total Liabilities	4.46M	4.94M	6.15M	9.26M	14.15M	12.69M
Stockholders Equity	1.69M	881.00K	-54.54K	-1.33M	-3.58M	-2.28M
Cash Flow
Free Cash Flow	1.04M	1.28M	-141.41K	-153.70K	1.16M	-1.55M
Operating Cash Flow	1.49M	1.43M	-32.21K	106.71K	2.52M	-1.27M
Investing Cash Flow	-467.46K	-134.29K	1.01M	1.06M	-1.77M	-282.20K
Financing Cash Flow	-1.63M	-911.18K	-1.46M	-1.01M	-289.23K	1.31M

TalkPool AG Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 16.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:TALK, the sentiment is Positive. The current price of 16 is above the 20-day moving average (MA) of 14.86, above the 50-day MA of 14.79, and above the 200-day MA of 13.22, indicating a bullish trend. The MACD of 0.02 indicates Negative momentum. The RSI at 54.22 is Neutral, neither overbought nor oversold. The STOCH value of 61.48 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SE:TALK.

TalkPool AG Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TALK	75 Outperform	kr116.36M	7.28	115.17%	―	0.44%	80.01%
ENRO	70 Outperform	kr380.54M	7.70	23.97%	―	-0.21%	33.33%
OVZON	67 Neutral	kr6.40B	46.74	-1.33%	―	77.67%	68.35%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
SPEONE	50 Neutral	kr65.11M	-2.05	-32.53%	―	-57.04%	-161.67%
NETEL	43 Neutral	kr186.53M	-1.34	―	―	-13.07%	-372.35%
TRANS	42 Neutral	kr237.52M	-1.85	0.35%	―	10.36%	-100.68%