USWE Sports AB (USWE) AI Stock Analysis

• Market Cap: €102.05M
• Dividend Yield: N/A
• Average Volume (3M): 4.69K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.87
• Revenue Growth: 24.34%
• EPS Growth: 39.30%
• Country: SE
• Employees: 23
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Leisure
• EPS (TTM): -0.47
• Shares Outstanding: 7,136,528
• 10 Day Avg. Volume: 5,794
• 30 Day Avg. Volume: 4,692
• PEG Ratio: -0.18
• Price to Book (P/B): 0.83
• Price to Sales (P/S): 0.46
• P/FCF Ratio: -41.46
• 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): 0.09
• Revenue Forecast (FY): €1.49B

• Rating: 45 Neutral
• Price Target: kr14.00 ▼(-3.45% Downside)

USWE Sports AB's overall stock score is primarily impacted by its financial performance and valuation challenges. While the company shows strong revenue growth, profitability and cash flow issues persist. The technical analysis indicates a bearish trend, and the negative P/E ratio highlights valuation concerns. These factors collectively suggest a cautious outlook for the stock.

Positive Factors

Revenue Growth

The company has demonstrated a revenue growth rate of 24.34%, indicating strong demand for its products and effective market penetration strategies.

Low Leverage

A low debt-to-equity ratio suggests conservative financial management, providing flexibility to invest in growth opportunities without significant debt burden.

Brand Recognition

Strong brand recognition and a loyal customer base enhance market position and can lead to sustained revenue streams and competitive advantage.

Negative Factors

Profitability Challenges

Persistent profitability issues, as indicated by negative margins, could hinder long-term growth and investment capabilities, affecting overall financial health.

Cash Flow Inefficiencies

Inefficient cash flow generation limits the company's ability to reinvest in operations and manage financial obligations, posing risks to sustainability.

Decreasing Gross Profit Margin

A declining gross profit margin may indicate rising costs or pricing pressures, which could erode profitability and competitiveness over time.

USWE Sports AB Business Overview & Revenue Model

Company Description

USWE Sports AB (USWE) is a Swedish company specializing in high-quality hydration packs and accessories designed for outdoor sports enthusiasts. The company operates primarily in the sports and outdoor recreation sector, focusing on providing innovative solutions that enhance the experience of athletes and adventurers during activities such as cycling, running, and hiking. USWE's core products include their signature hydration systems, which are characterized by their ergonomic designs and effective hydration delivery mechanisms, catering to the needs of both amateur and professional athletes.

How the Company Makes Money

USWE generates revenue primarily through the sale of its hydration packs and accessories, which are distributed via various channels, including online retail, specialty sports stores, and partnerships with outdoor gear retailers. The company benefits from a loyal customer base and brand recognition within the outdoor sports community, which drives direct sales. Additionally, USWE may engage in collaborations with sporting events, sponsorships, and partnerships with professional athletes to increase brand visibility and market reach, contributing to its overall earnings. The company's focus on innovation and product development also allows it to maintain a competitive edge, attracting customers seeking high-performance gear.

USWE Sports AB Financial Statement Overview

Summary

USWE Sports AB shows strong revenue growth but faces profitability and cash flow challenges. The balance sheet is stable with low leverage, yet returns on equity are negative, indicating inefficiencies. Overall, the company needs to focus on improving operational efficiency and cash flow management to enhance financial health.

Income Statement

USWE Sports AB shows strong revenue growth with a TTM increase of 80.9%, indicating robust demand. However, profitability is a concern with negative net profit and EBIT margins, reflecting operational challenges. The gross profit margin remains healthy at 54.2%, but the negative net profit margin of -8.9% highlights the need for cost management improvements.

Balance Sheet

The balance sheet is relatively stable with a low debt-to-equity ratio of 0.16, suggesting conservative leverage. However, the negative return on equity of -17.2% indicates inefficiencies in generating returns for shareholders. The equity ratio of 71.4% shows a strong equity base, providing financial stability.

Cash Flow

Cash flow performance is mixed, with a significant decline in free cash flow growth by -33.4% TTM, indicating cash generation issues. The operating cash flow to net income ratio of 0.55 suggests moderate cash conversion efficiency. The free cash flow to net income ratio of 0.83 reflects some ability to cover net losses with free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	140.37M	124.13M	113.91M	94.56M	82.83M	43.99M
Gross Profit	57.20M	70.93M	66.54M	54.75M	44.43M	25.85M
EBITDA	6.63M	-5.65M	1.33M	-16.98M	7.44M	1.15M
Net Income	-11.33M	-14.37M	-7.88M	-16.68M	4.50M	6.49M
Balance Sheet
Total Assets	91.00M	110.28M	124.76M	125.46M	87.96M	32.35M
Cash, Cash Equivalents and Short-Term Investments	4.63M	3.87M	3.23M	9.11M	11.48M	1.49M
Total Debt	9.05M	9.06M	17.41M	19.73M	0.00	4.79M
Total Liabilities	26.07M	40.88M	67.46M	60.17M	18.63M	19.59M
Stockholders Equity	64.93M	69.41M	57.30M	65.29M	69.33M	12.76M
Cash Flow
Free Cash Flow	9.50M	-1.39M	-9.15M	-11.27M	-34.30M	-190.83K
Operating Cash Flow	12.39M	2.32M	-3.79M	-5.16M	-17.07M	1.95M
Investing Cash Flow	-4.88M	-10.13M	-5.36M	-21.89M	-17.23M	-2.15M
Financing Cash Flow	-4.84M	8.54M	3.29M	24.68M	44.29M	-1.06M

USWE Sports AB Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 14.50
• 50DMA: Negative
• 100DMA: Negative
• 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:USWE, the sentiment is Neutral. The current price of 14.5 is above the 20-day moving average (MA) of 14.36, below the 50-day MA of 15.58, and above the 200-day MA of 12.43, indicating a neutral trend. The MACD of -0.30 indicates Negative momentum. The RSI at 46.75 is Neutral, neither overbought nor oversold. The STOCH value of 72.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for SE:USWE.

USWE Sports AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RVRC	69 Neutral	€6.93B	23.31	23.71%	2.16%	6.44%	0.49%
MIPS	66 Neutral	kr7.99B	57.93	23.68%	2.11%	23.02%	32.69%
THULE	65 Neutral	kr26.16B	24.79	14.62%	3.33%	8.93%	-12.56%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
FOI.B	59 Neutral	kr7.06B	83.97	2.04%	2.42%	-2.98%	-30.48%
PRFO	59 Neutral	€416.00M	34.67	3.22%	38.82%	-11.02%	-90.00%
USWE	45 Neutral	€102.05M	―	-16.28%	―	24.34%	39.30%