Wise Group AB (WISE) AI Stock Analysis

• Market Cap: kr115.30M
• Dividend Yield: N/A
• Average Volume (3M): 1.81K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.41
• Revenue Growth: -21.44%
• EPS Growth: -1.92%
• Country: SE
• Employees: 397
• Sector: Industrials
• Sector Strength: 87
• Industry: Staffing & Employment Services
• EPS (TTM): -0.28
• Shares Outstanding: 7,390,860
• 10 Day Avg. Volume: 2,366
• 30 Day Avg. Volume: 1,813
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: kr16.54
• Price Target Upside: 1.79% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 50 Neutral
• Price Target: kr17.00 ▲(4.62%Upside)

Wise Group AB's overall stock score is primarily impacted by financial performance challenges, including declining revenues and negative profitability. Technical analysis provides mixed signals with no strong momentum. Valuation concerns further weigh on the score due to a negative P/E ratio and lack of dividend yield.

Wise Group AB Business Overview & Revenue Model

Company Description

Wise Group AB (WISE) is a Swedish company operating within the human resources sector. The company specializes in providing a range of services including recruitment, consultancy, and leadership development. Its core offerings are designed to help organizations optimize their workforce management and enhance their organizational capabilities by leveraging expert consulting and tailored HR solutions.

How the Company Makes Money

Wise Group AB makes money primarily through its diverse range of HR services tailored to meet the needs of different organizations. Key revenue streams include fees from recruitment services, where the company matches qualified candidates with employers, and consultancy services, which involve advising businesses on HR strategies and practices. Additionally, Wise Group derives income from leadership development programs aimed at improving management and executive skills within client companies. Significant partnerships with both corporate clients and industry professionals enhance its service offerings and contribute to its earnings by expanding its market reach and expertise.

Wise Group AB Financial Statement Overview

Summary

Wise Group AB faces operational challenges with declining revenues and profitability, as indicated by negative net income and EBIT. The balance sheet reveals growing debt reliance, though there are recent signs of cash flow stabilization.

Income Statement

Wise Group AB has experienced a decline in revenue over the past few years, with a notable drop from 2020 to 2023. Gross profit margins have been inconsistent, and the company has reported negative EBIT and net income in recent periods, indicating operational challenges. Despite these issues, EBITDA margins suggest some capacity for positive cash flow generation.

Balance Sheet

The balance sheet shows a moderate debt-to-equity ratio, indicating manageable leverage. However, the decline in stockholders' equity over the past years raises concerns about the company's financial health. The equity ratio has also decreased, suggesting an increased reliance on debt financing.

Cash Flow

Cash flow analysis reveals volatility, with free cash flow fluctuating significantly. While operating cash flow remains positive, the conversion of operating cash flow to net income is inconsistent, reflecting challenges in sustaining profitability. Recent improvements in free cash flow suggest potential for recovery.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	591.37M	630.63M	803.10M	910.46M	744.59M	820.18M
Gross Profit	245.42M	264.18M	315.38M	412.93M	340.71M	331.34M
EBITDA	2.10M	7.53M	7.57M	68.89M	43.44M	37.13M
Net Income	-22.57M	-19.15M	-16.19M	19.14M	59.68M	-2.17M
Balance Sheet
Total Assets	228.52M	237.76M	306.30M	409.88M	404.27M	412.09M
Cash, Cash Equivalents and Short-Term Investments	33.17M	36.91M	53.70M	104.03M	114.28M	41.37M
Total Debt	56.15M	61.30M	71.38M	90.16M	95.25M	122.34M
Total Liabilities	163.14M	169.25M	219.42M	277.22M	262.55M	311.84M
Stockholders Equity	65.38M	68.50M	86.87M	132.66M	141.72M	100.25M
Cash Flow
Free Cash Flow	18.43M	3.19M	-7.00K	49.49M	19.59M	40.89M
Operating Cash Flow	18.50M	3.19M	924.00K	57.59M	21.83M	60.43M
Investing Cash Flow	328.00K	252.00K	-586.00K	-8.33M	83.38M	-17.19M
Financing Cash Flow	-18.77M	-20.37M	-51.24M	-61.17M	-32.49M	-7.42M

Wise Group AB Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 16.25
• 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:WISE, the sentiment is Negative. The current price of 16.25 is below the 20-day moving average (MA) of 16.60, below the 50-day MA of 16.90, and below the 200-day MA of 17.55, indicating a bearish trend. The MACD of -0.26 indicates Positive momentum. The RSI at 37.96 is Neutral, neither overbought nor oversold. The STOCH value of 41.54 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:WISE.

Wise Group AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	62 Neutral	kr40.88B	12.48	-0.16%	2.25%	0.51%	-1.65%
LEVEL	56 Neutral	kr132.42M	―	-7.80%	―	-7.09%	-941.77%
PION.B	53 Neutral	kr292.91M	―	-39.44%	4.53%	-21.21%	-1708.20%
BRILL	51 Neutral	kr67.31M	―	-17.35%	―	―	―
WISE	50 Neutral	kr115.30M	―	-28.67%	―	-21.44%	-1.92%
HEGR	46 Neutral	kr32.46M	28.36	0.62%	11.43%	-20.81%	-93.03%
IRIS	38 Underperform	kr47.11M	―	-40.26%	―	-32.95%	7.37%