Waystream Group AB (WAYS) AI Stock Analysis

• Market Cap: kr342.16M
• Dividend Yield: N/A
• Average Volume (3M): 8.07K
• Price to Earnings (P/E): 618.1
• Beta (1Y): 0.34
• Revenue Growth: 10.55%
• EPS Growth: N/A
• Country: SE
• Employees: 19
• Sector: Technology
• Sector Strength: 88
• Industry: Communication Equipment
• EPS (TTM): 0.30
• Shares Outstanding: 8,069,763
• 10 Day Avg. Volume: 7,621
• 30 Day Avg. Volume: 8,071
• PEG Ratio: -0.08
• Price to Book (P/B): 2.36
• Price to Sales (P/S): 1.17
• P/FCF Ratio: 34.43
• 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: 55 Neutral
• Price Target: kr37.00 ▼(-6.57% Downside)

Waystream Group AB's overall stock score is primarily influenced by its stable financial position and positive technical indicators. However, the high P/E ratio suggests overvaluation, which is a significant risk. The lack of profitability and shareholder returns also weighs on the score, highlighting the need for improved financial performance.

Positive Factors

Stable Financial Position

The company's low leverage and effective cash management provide a solid foundation for long-term stability and growth opportunities.

Revenue Growth

Consistent revenue growth indicates a positive market presence and potential for future expansion, supporting long-term business viability.

Strong Cash Flow

Strong cash flow growth enhances the company's ability to invest in new projects and manage debt, supporting sustainable operations.

Negative Factors

Negative Profitability

Ongoing negative profitability metrics highlight challenges in cost management and achieving sustainable earnings, impacting long-term financial health.

Negative Return on Equity

Negative ROE indicates inefficiencies in using equity capital, which can deter investment and affect shareholder confidence over time.

Cost Management Issues

Poor cost management affects profitability and could hinder the company's ability to compete effectively in the market long-term.

Waystream Group AB Business Overview & Revenue Model

Company Description

Waystream Holding AB (publ) provides routers and switches that are used in the field of high-speed broadband service networks in Sweden. The company offers ASR 8000, MS 8000, and MS 7000, a hybrid architecture access switches for Internet, TV, wholesale capacity services, and private networks; and optical SFP and SFP+ modules accessories for telecom operators, service providers, and city networks that are used in optical connection and passive coaxial cables. It also provides technical support, training, and professional services. In addition, the company offers IPTV monitoring, point-to-point technology, and ZeroTouch automation solutions. The company was founded in 2001 and is headquartered in Kista, Sweden.

How the Company Makes Money

Waystream Group AB generates revenue through the sale of its networking hardware and software solutions to telecommunications operators and service providers. The company's key revenue streams include the direct sales of its routers and switches, as well as recurring revenue from software licenses and maintenance contracts. Additionally, Waystream benefits from strategic partnerships with various telecommunications companies and technology firms that facilitate the integration of its products into larger network infrastructures. The growing demand for high-speed internet and the expansion of fiber optic networks contribute significantly to the company’s earnings, as service providers seek reliable solutions to meet increasing consumer data needs.

Waystream Group AB Financial Statement Overview

Summary

TTM results show a meaningful turnaround with positive operating profit/net income and strong operating/free cash flow, supported by a conservative, debt-free balance sheet. Offsetting this, net margins remain very thin (~0.4%) and multi-year profitability has been volatile, raising questions about durability.

Income Statement

TTM (Trailing-Twelve-Months) results show a clear profitability recovery: revenue grew ~4.1% and the company returned to positive operating profit and net income, but net margin remains very thin (~0.4%), indicating earnings quality is still fragile. The annual history is volatile—strong profits in 2020–2022 were followed by losses in 2023–2024—so while the trajectory is improving, consistency and durable margins are not yet proven.

Balance Sheet

The balance sheet looks conservative in TTM (Trailing-Twelve-Months) with zero reported debt and solid equity versus assets, reducing financial risk and giving flexibility. Prior years carried modest leverage (debt-to-equity ~0.19 in 2023–2024), so the recent deleveraging is a meaningful positive. The main weakness is that returns on equity are currently low (TTM ~0.9%), reflecting that profitability has not yet caught up to the capital base.

Cash Flow

TTM (Trailing-Twelve-Months) cash generation is strong: operating cash flow (~31.2m) and free cash flow (~31.8m) are robust and far exceed reported net income, which supports liquidity and reinvestment capacity. However, free cash flow growth is slightly negative versus the prior period, and cash flow has been uneven historically (notably negative in 2023), so sustainability through the cycle remains a key watch item.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	124.24M	115.15M	100.31M	140.34M	91.60M	86.36M
Gross Profit	53.14M	53.75M	62.83M	87.34M	65.43M	55.15M
EBITDA	11.00M	-5.76M	1.39M	27.47M	20.18M	16.31M
Net Income	554.00K	-11.79M	-4.81M	20.56M	14.77M	11.67M
Balance Sheet
Total Assets	111.05M	113.25M	128.59M	127.18M	78.40M	54.57M
Cash, Cash Equivalents and Short-Term Investments	8.14M	5.07M	2.80M	27.21M	26.24M	7.68M
Total Debt	0.00	11.17M	12.84M	2.01M	1.99M	1.75M
Total Liabilities	43.87M	56.26M	62.04M	51.78M	24.05M	15.82M
Stockholders Equity	67.18M	56.98M	66.56M	75.40M	54.35M	38.75M
Cash Flow
Free Cash Flow	31.82M	3.91M	-29.02M	978.00K	17.62M	7.25M
Operating Cash Flow	31.17M	15.09M	-17.99M	10.10M	27.00M	11.18M
Investing Cash Flow	-14.61M	-11.18M	-11.02M	-9.12M	-9.39M	-3.93M
Financing Cash Flow	-12.44M	-1.67M	4.78M	-52.00K	740.00K	-5.30M

Waystream Group AB Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 39.60
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:WAYS, the sentiment is Positive. The current price of 39.6 is below the 20-day moving average (MA) of 39.76, above the 50-day MA of 36.95, and above the 200-day MA of 35.24, indicating a bullish trend. The MACD of 1.02 indicates Negative momentum. The RSI at 70.19 is Negative, neither overbought nor oversold. The STOCH value of 87.50 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SE:WAYS.

Waystream Group AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ALCA	71 Outperform	kr585.81M	18.36	―	―	-7.91%	-33.91%
TAGM.B	68 Neutral	kr287.09M	13.55	8.23%	―	14.89%	―
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
WAYS	55 Neutral	kr342.16M	618.08	―	―	10.55%	―
MAVEN	53 Neutral	kr257.28M	-37.78	-5.81%	―	-9.79%	-144.24%
INCOAX	44 Neutral	kr90.05M	-2.72	-24.59%	―	-48.24%	-48.99%