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Vitec Software Group AB Class B (SE:VIT.B)
:VIT.B
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Vitec Software Group AB Class B (VIT.B) AI Stock Analysis

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SE:VIT.B

Vitec Software Group AB Class B

(Frankfurt:VIT.B)

Rating:66Neutral
Price Target:
kr424.00
▲(8.27%Upside)
Vitec Software Group AB Class B's overall stock score is driven by its strong financial performance, showcasing robust revenue growth and profitability. However, the stock's technical analysis indicates bearish momentum, and its high valuation suggests potential overpricing. The lack of dividend yield and growth prospects further impacts the valuation score.

Vitec Software Group AB Class B (VIT.B) vs. iShares MSCI Sweden ETF (EWD)

Vitec Software Group AB Class B Business Overview & Revenue Model

Company DescriptionVitec Software Group AB Class B (VIT.B) is a Swedish software company that specializes in developing and delivering industry-specific software solutions. Operating primarily within the Nordic region, Vitec provides comprehensive, vertical market software designed to meet the unique needs of various sectors including real estate, energy, healthcare, education, and automotive. The company's core offerings encompass enterprise resource planning (ERP) systems, data analytics, and other specialized software applications that enhance operational efficiency and business performance for its clients.
How the Company Makes MoneyVitec Software Group AB generates revenue primarily through the sale and licensing of its software products tailored to specific industries. The company adopts a subscription-based revenue model, offering its software solutions on a recurring basis, which ensures a stable and predictable income stream. A significant portion of its revenue comes from long-term contracts with clients in various niche markets, creating a dependable customer base. Additionally, Vitec benefits from strategic acquisitions of niche software companies, which not only expand its product portfolio but also its market reach and customer base across the Nordic region. This approach allows Vitec to leverage synergies and cross-sell its solutions, further enhancing its revenue potential.

Vitec Software Group AB Class B Financial Statement Overview

Summary
Vitec Software Group AB Class B presents a strong financial profile with robust revenue growth and profitability. The balance sheet is stable with moderate leverage, and cash flow generation is solid, supporting future growth and potential dividend distributions. While the company shows strong operational efficiency and cash conversion, continued monitoring of leverage is advisable as it grows.
Income Statement
85
Very Positive
The company has demonstrated strong revenue growth, with a significant increase in total revenue over recent years. The TTM gross profit margin is robust at approximately 39.2%, indicating efficient cost management. The net profit margin is around 11.7%, reflecting solid profitability. EBIT and EBITDA margins are also healthy, at about 20% and 39% respectively, showcasing operational efficiency.
Balance Sheet
78
Positive
The balance sheet is strong, with a debt-to-equity ratio of 0.50, suggesting a moderate level of leverage. Return on equity (ROE) is approximately 8.7%, which is decent, showing the company is effectively generating returns on shareholders' investments. The equity ratio is about 47.3%, indicating a stable capital structure with a good proportion of equity financing.
Cash Flow
82
Very Positive
The company shows a strong cash flow position, with a healthy operating cash flow to net income ratio of 2.71, reflecting efficient cash generation relative to net income. The free cash flow growth rate is impressive, indicating the company is enhancing its ability to generate cash after capital expenditures. The free cash flow to net income ratio stands at a robust 1.93, showcasing strong cash conversion.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue3.50B3.33B2.78B1.98B1.57B1.31B
Gross Profit1.37B1.23B1.05B1.19B926.99M755.25M
EBITDA1.34B1.32B940.05M620.70M496.64M389.25M
Net Income407.65M410.10M339.18M244.87M206.94M160.71M
Balance Sheet
Total Assets9.86B10.08B7.83B6.32B3.75B2.21B
Cash, Cash Equivalents and Short-Term Investments483.15M243.55M171.85M615.79M119.85M134.69M
Total Debt2.36B2.54B2.26B1.63B873.76M616.71M
Total Liabilities5.19B5.18B4.42B3.11B1.76B1.36B
Stockholders Equity4.67B4.91B3.41B3.21B1.99B843.35M
Cash Flow
Free Cash Flow788.41M546.46M341.45M278.02M259.83M263.44M
Operating Cash Flow1.10B949.04M718.40M563.37M488.02M436.33M
Investing Cash Flow-2.30B-1.96B-1.68B-1.44B-1.51B-340.13M
Financing Cash Flow1.06B1.10B489.91M1.34B1.02B38.49M

Vitec Software Group AB Class B Technical Analysis

Technical Analysis Sentiment
Negative
Last Price391.60
Price Trends
50DMA
444.53
Negative
100DMA
482.58
Negative
200DMA
503.73
Negative
Market Momentum
MACD
-21.98
Positive
RSI
33.01
Neutral
STOCH
42.18
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:VIT.B, the sentiment is Negative. The current price of 391.6 is below the 20-day moving average (MA) of 429.12, below the 50-day MA of 444.53, and below the 200-day MA of 503.73, indicating a bearish trend. The MACD of -21.98 indicates Positive momentum. The RSI at 33.01 is Neutral, neither overbought nor oversold. The STOCH value of 42.18 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:VIT.B.

Vitec Software Group AB Class B Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
69
Neutral
kr5.16B51.9833.21%0.97%12.88%16.11%
67
Neutral
kr2.65B15.1815.85%2.45%-2.05%-24.44%
66
Neutral
kr15.51B36.5518.26%1.01%-24.57%33.87%
66
Neutral
kr15.61B39.119.42%0.82%16.99%1.34%
63
Neutral
£505.90M23.92-8.45%170.41%4.53%-18.72%
60
Neutral
kr3.37B41.431.97%3.07%-9.43%-58.34%
59
Neutral
kr18.16B38.2739.36%0.71%15.64%6.32%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
SE:VIT.B
Vitec Software Group AB Class B
386.00
-156.15
-28.80%
SE:ANOD.B
Addnode Group AB Class B
111.80
8.91
8.66%
SE:KNOW
Knowit AB
122.20
-38.98
-24.18%
SE:LIME
Lime Technologies AB
388.00
37.13
10.58%
SE:PACT
Proact IT Group AB
98.10
-55.19
-36.00%
SE:TRUE.B
Truecaller AB Class B
51.65
18.73
56.89%

Vitec Software Group AB Class B Corporate Events

Vitec Software Group Reports Mixed Financial Results for First Half of 2025
Jul 11, 2025

Vitec Software Group AB reported a 4% increase in net sales to SEK 916 million for the April-June 2025 period, with recurring revenues rising by 5%. However, the EBITA decreased by 11% to SEK 236 million, reflecting a challenging quarter. For the first half of 2025, net sales grew by 12% to SEK 1,796 million, driven by a 15% increase in recurring revenues. Despite the growth in sales, EBITA fell by 6% to SEK 456 million. The company remains focused on long-term growth through strategic acquisitions and maintaining a high proportion of recurring revenues, which provide stability and predictability in cash flows.

The most recent analyst rating on ($SE:VIT.B) stock is a Hold with a SEK580.00 price target. To see the full list of analyst forecasts on Vitec Software Group AB Class B stock, see the SE:VIT.B Stock Forecast page.

Vitec Software Group to Present Interim Report for January-June 2025
Jun 19, 2025

Vitec Software Group has announced a webcast presentation of its Interim Report for January-June 2025, scheduled for July 11, 2025. The presentation will be led by CEO Olle Backman and Head of Investor Relations Patrik Fransson, and will include a Q&A session. This event underscores Vitec’s commitment to transparency and stakeholder engagement, potentially impacting investor confidence and market perception.

The most recent analyst rating on ($SE:VIT.B) stock is a Hold with a SEK580.00 price target. To see the full list of analyst forecasts on Vitec Software Group AB Class B stock, see the SE:VIT.B Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 12, 2025