Tellusgruppen AB (TELLUS) AI Stock Analysis

• Market Cap: kr81.32M
• Dividend Yield: N/A
• Average Volume (3M): 70.12K
• Price to Earnings (P/E): 26.0
• Beta (1Y): 0.11
• Revenue Growth: 8.31%
• EPS Growth: N/A
• Country: SE
• Employees: 636
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Education & Training Services
• EPS (TTM): 0.69
• Shares Outstanding: 17,755,419
• 10 Day Avg. Volume: 11,956
• 30 Day Avg. Volume: 70,119
• PEG Ratio: -0.30
• Price to Book (P/B): -33.06
• Price to Sales (P/S): 0.19
• P/FCF Ratio: 11.23
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 52 Neutral
• Price Target: kr4.50 ▼(-1.75% Downside)

Tellusgruppen AB's overall stock score is driven by strong revenue growth and cash generation capabilities, but is tempered by profitability challenges and high financial leverage. Technical indicators suggest bearish momentum, though the stock may be approaching oversold conditions. The valuation is moderate, but the lack of a dividend yield may deter some investors.

Positive Factors

Revenue Growth

Tellusgruppen AB's revenue growth rate of 9.62% indicates a positive trend in expanding its market presence and increasing demand for its educational services, which is crucial for long-term business sustainability and competitiveness.

Cash Flow Improvement

The strong free cash flow growth rate of 101.95% suggests effective cash management, providing the company with the financial flexibility to invest in growth opportunities and manage its operations efficiently over the long term.

Stable Revenue Streams

Long-term service contracts with municipalities ensure a stable and recurring income, which supports financial stability and reduces revenue volatility, enhancing the company's ability to plan and invest in future growth.

Negative Factors

High Leverage

The high debt-to-equity ratio of -3.67 indicates significant financial risk and leverage, which can strain the company's financial resources and limit its ability to invest in growth initiatives, potentially impacting long-term stability.

Profitability Challenges

Negative net profit and EBIT margins highlight ongoing profitability challenges, suggesting the need for improved cost management and operational efficiency to enhance financial performance and ensure long-term viability.

Low Gross Profit Margin

A low gross profit margin of 22.34% indicates challenges in cost management, which may hinder the company's ability to achieve higher profitability and necessitates strategic improvements to enhance operational efficiency.

Tellusgruppen AB Business Overview & Revenue Model

Company Description

Tellusgruppen AB (publ), through its subsidiaries, operates in the education and childcare sectors in Sweden. The company operates 23 preschools in Stockholm and Uppsala counties under the Tellusbarn name; and 4 primary schools in Enköping under the Tellusskolan name. It also provides homework help services under the Tellusacademy name; and babysitting services under the Nanny by Tellus name. The company was founded in 2007 and is based in Stockholm, Sweden.

How the Company Makes Money

Tellusgruppen AB generates revenue through multiple streams, primarily by offering customized technology solutions and consulting services to its clients in telecommunications and energy sectors. The company charges fees for software development projects, data analytics services, and system integration solutions. Additionally, TELLUS may earn recurring revenue from maintenance contracts and support services associated with its technology products. Strategic partnerships with key industry players allow TELLUS to expand its market reach and enhance its service offerings, further contributing to its revenue growth.

Tellusgruppen AB Financial Statement Overview

Summary

Tellusgruppen AB shows strong revenue growth and good cash generation, but faces profitability challenges with negative net margins and high financial leverage. Improvements in capital structure and operational efficiency are needed.

Income Statement

Tellusgruppen AB shows a mixed performance in its income statement. The TTM data indicates a slight improvement in gross profit margin at 22.34% compared to previous years, but the net profit margin remains negative at -0.78%, indicating ongoing profitability challenges. Revenue growth is strong at 41.1% TTM, suggesting positive momentum in sales. However, EBIT and EBITDA margins are low at 0.43% and 6.02% respectively, reflecting operational inefficiencies.

Balance Sheet

The balance sheet reveals significant leverage with a debt-to-equity ratio of -3.67 TTM, indicating high financial risk. The return on equity is positive at 111.55% TTM, but this is due to a low equity base, which can be risky. The equity ratio is low, suggesting limited financial stability. The company needs to improve its equity position to reduce financial risk.

Cash Flow

Cash flow analysis shows a strong operating cash flow to net income ratio of 56.35% TTM, indicating good cash generation relative to net income. However, free cash flow growth is negative at -173.7% TTM, highlighting potential cash flow management issues. The free cash flow to net income ratio is healthy at 93.32%, suggesting that the company is converting a significant portion of its earnings into free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	477.94M	450.94M	399.34M	323.30M	244.53M	187.11M
Gross Profit	110.27M	90.33M	367.63M	69.89M	50.54M	47.51M
EBITDA	35.09M	13.59M	13.21M	12.71M	1.97M	11.42M
Net Income	4.36M	-19.77M	-16.88M	-6.40M	-6.80M	4.01M
Balance Sheet
Total Assets	109.19M	107.70M	122.11M	130.13M	76.88M	44.61M
Cash, Cash Equivalents and Short-Term Investments	4.36M	1.08M	1.15M	2.40M	7.07M	8.83M
Total Debt	30.28M	19.55M	27.93M	43.00M	25.29M	11.46M
Total Liabilities	98.88M	110.31M	121.22M	114.17M	63.90M	41.49M
Stockholders Equity	10.29M	-2.66M	883.00K	15.89M	12.90M	3.12M
Cash Flow
Free Cash Flow	31.11M	7.82M	4.03M	-20.74M	-26.28M	-4.82M
Operating Cash Flow	34.91M	11.84M	10.76M	3.82M	9.29M	12.66M
Investing Cash Flow	-3.85M	-5.10M	-10.45M	-26.24M	-37.79M	-21.04M
Financing Cash Flow	-27.25M	-6.80M	-1.57M	17.75M	26.74M	6.83M

Tellusgruppen AB Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4.58
• 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:TELLUS, the sentiment is Negative. The current price of 4.58 is below the 20-day moving average (MA) of 4.85, below the 50-day MA of 4.75, and below the 200-day MA of 4.97, indicating a bearish trend. The MACD of -0.11 indicates Positive momentum. The RSI at 43.45 is Neutral, neither overbought nor oversold. The STOCH value of 31.87 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:TELLUS.

Tellusgruppen AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ACAD	79 Outperform	€10.40B	12.70	12.65%	2.31%	9.02%	29.93%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
CEDER	62 Neutral	€508.97M	25.61	13.22%	6.73%	45.29%	151.67%
TELLUS	52 Neutral	kr81.32M	26.04	128.49%	―	8.31%	―