Wise Group AB (WISE) AI Stock Analysis

• Market Cap: kr147.45M
• Dividend Yield: N/A
• Average Volume (3M): 1.32K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.18
• Revenue Growth: -20.88%
• EPS Growth: 14.14%
• Country: SE
• Employees: 397
• Sector: Industrials
• Sector Strength: 72
• Industry: Staffing & Employment Services
• EPS (TTM): -0.34
• Shares Outstanding: 7,390,860
• 10 Day Avg. Volume: 1,013
• 30 Day Avg. Volume: 1,319
• PEG Ratio: 0.29
• Price to Book (P/B): 1.79
• Price to Sales (P/S): 0.20
• 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: 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: 51 Neutral
• Price Target: kr19.00 ▲(53.85% Upside)
• Action: Reiterated Date: 03/11/26
• Date: Action: Reiterated 03/11/26

The score is held down primarily by weak financial performance—declining revenue, ongoing losses, negative gross profit in 2025, weakening cash flow, and rising leverage. Technical indicators are a key offset, showing strong positive momentum with price above major moving averages and a positive MACD, while valuation remains challenged due to the negative P/E and lack of dividend yield data.

Positive Factors

Diversified HR services mix

Wise operates across recruitment, retained executive search, staffing/consulting, HR advisory and training. This mix spreads demand cyclicality, offers higher‑margin retained search alongside recurring staffing/consulting revenue, and supports cross‑sell, stabilizing long‑term cash flows.

Positive EBITDA resilience

Despite net losses, slight positive EBITDA in recent years implies the core service operations can still generate underlying earnings before depreciation, amortization and non‑operating items. That operational earnings base gives scope to restore margins through cost control or revenue mix improvements.

Balance sheet not currently in distress

Although leverage has risen, the balance sheet is described as not in distress, providing a runway to execute restructuring or refinancing if needed. This preserves medium‑term solvency and flexibility to invest selectively while pursuing a turnaround.

Negative Factors

Three-year revenue decline

Sustained top‑line contraction over multiple years signals weakening market position, client churn or pricing pressure. A shrinking revenue base reduces operating leverage, limits reinvestment capacity, and makes it harder to retain talent and sales capabilities needed for recovery.

Negative gross profit in 2025

A negative gross profit margin indicates costs of delivery exceeded revenue, which is a structural red flag for a services business. Unless driven by one‑offs, this suggests mispriced contracts, poor utilization, or elevated direct costs that must be corrected to restore viable unit economics.

Weakened cash generation and rising leverage

Operating cash flow deterioration and higher leverage reduce financial flexibility, raising refinancing and working capital risks. With free cash flow near zero in 2025, the company is more reliant on its balance sheet or external funding to cover losses and invest in recovery initiatives.

Wise Group AB Business Overview & Revenue Model

Company Description

Wise Group AB (publ) provides recruitment and consultancy services in Sweden, Finland, and Denmark. The company offers services within the areas of HR, payroll, finance, marketing, communication, and business administration for commercial, public, and non-profit organizations; HR consultancy, leadership, organizational development, and coaching services; and recruitment and professional staffing of IT specialists, developers, and IT management leaders. It also engages in search and interim management of leadership and specialist roles; recruitment and consultant staffing services within marketing and communication; recruitment, interim management, and advisory counseling services for the sales organization. In addition, the company provides recruitment and consultant staffing services that fill positions, such as CFOs, controllers, and accountants, as well as assistant of CEO and management assistant, executive assistant, administrative manager, office manager, front desk manager, customer service manager, project coordinator, administrator, facility manager, facility coordinator, sales, purchase, law, and office assistants, as well as front desk and customer service assistants. Wise Group AB (publ) was incorporated in 2005 and is based in Stockholm, Sweden.

How the Company Makes Money

Wise Group primarily generates revenue by selling HR-related services to client organizations. Key revenue streams include: (1) Recruitment and staffing/consulting fees: income from placing candidates (permanent recruitment fees) and providing consultants/staffing services where revenue is typically tied to billed hours or agreed project/assignment rates. (2) Executive search: higher-value fees for sourcing and evaluating senior leaders and specialists, usually structured as retained search engagements with staged payments tied to the process milestones and/or successful placement. (3) HR consulting and talent/assessment services: project-based fees for services such as employer branding, talent assessment, leadership development, and other HR advisory engagements, commonly billed as fixed-price projects, workshops, or time-and-materials consulting. (4) Training and development offerings: fees from courses/programs and other capability-building services delivered to corporate clients. Overall earnings are influenced by client hiring activity and labor market demand (which affect placement volumes and consultant utilization), the mix of permanent placements versus time-based consulting, and the company’s ability to maintain utilization rates and pricing in its consulting/staffing operations. Specific material partnerships and their contribution to revenue are not available (null).

Wise Group AB Financial Statement Overview

Summary

Financials have deteriorated meaningfully: revenue declined for three straight years, net losses persisted through 2023–2025, and 2025 showed negative gross profit/margin. Cash flow weakened from strong 2020–2022 levels to slightly negative operating cash flow and near-zero free cash flow in 2025, while leverage rose as equity eroded (debt-to-equity ~1.52 in 2025).

Income Statement

Operating performance has weakened materially after 2022. Revenue has declined for three consecutive years (down ~10% in 2025 vs. 2024), and profitability remains negative: net losses persisted from 2023–2025 with negative net margins around ~-2% to -3%. A notable red flag is 2025 showing negative gross profit and negative gross margin, suggesting severe cost pressure and/or non-recurring charges. While EBITDA is still slightly positive in 2024–2025, it is very thin, indicating limited earnings resilience.

Balance Sheet

Leverage has increased and balance sheet cushion has thinned. Debt-to-equity moved from ~0.82–0.89 (2023–2024) to ~1.52 in 2025 as equity declined, and return on equity is negative in the last three years, reflecting ongoing losses. Total assets have also trended down since 2022, consistent with a smaller business footprint. The balance sheet is not in distress based on the data provided, but the direction of leverage and negative returns reduces financial flexibility.

Cash Flow

Cash generation has become inconsistent versus earlier years. Operating cash flow was very strong in 2020–2022, but weakened sharply thereafter, dropping to modestly positive in 2023–2024 and turning slightly negative in 2025. Free cash flow was healthy in 2024 but effectively zero in 2025, and free cash flow growth fell to -100% in 2025. Overall, cash flow is no longer reliably supporting the business through losses, increasing reliance on balance sheet capacity.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	477.19M	630.63M	803.10M	910.46M	744.59M
Gross Profit	-13.46M	264.18M	315.38M	412.93M	340.71M
EBITDA	3.18M	7.53M	9.58M	68.89M	100.09M
Net Income	-15.09M	-19.15M	-16.19M	19.14M	41.37M
Balance Sheet
Total Assets	184.54M	237.76M	306.30M	409.88M	404.27M
Cash, Cash Equivalents and Short-Term Investments	21.15M	36.91M	53.70M	104.03M	114.28M
Total Debt	46.56M	61.30M	71.38M	104.75M	95.25M
Total Liabilities	132.58M	169.25M	219.42M	277.22M	262.55M
Stockholders Equity	51.96M	68.50M	86.87M	132.66M	141.72M
Cash Flow
Free Cash Flow	0.00	3.19M	-7.00K	49.49M	19.59M
Operating Cash Flow	-457.00K	3.19M	924.00K	57.59M	21.83M
Investing Cash Flow	-1.57M	252.00K	-586.00K	-8.33M	83.38M
Financing Cash Flow	-13.73M	-20.37M	-51.24M	-61.17M	-32.49M

Wise Group AB Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 12.35
• 50DMA: Positive
• 100DMA: Positive
• 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:WISE, the sentiment is Positive. The current price of 12.35 is below the 20-day moving average (MA) of 17.33, below the 50-day MA of 14.64, and below the 200-day MA of 14.86, indicating a bullish trend. The MACD of 1.54 indicates Negative momentum. The RSI at 66.25 is Neutral, neither overbought nor oversold. The STOCH value of 72.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive 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 *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
DEDI	56 Neutral	kr380.59M	13.62	―	5.95%	-17.43%	-39.61%
WISE	51 Neutral	kr147.45M	-6.17	-25.98%	―	-20.88%	14.14%
HEGR	46 Neutral	kr23.06M	-1.44	-8.58%	―	-11.42%	-116.51%
PION.B	40 Underperform	kr236.06M	-831.83	-0.23%	―	-17.32%	36.05%