Fabasoft AG (FBSFF)

Fabasoft AG (FBSFF) Technology Profile & Competitive Position

Fabasoft AG delivers specialized software and cloud solutions, including eGov-Suite and Mindbreeze InSpire, primarily serving the DACH region's public and private sectors. With a P/E of 13.7 and a dividend yield of 0.85%, Fabasoft focuses on secure data management and digital transformation.

What Is the Investment Thesis for FBSFF?

Fabasoft AG presents a compelling investment case based on its established presence in the DACH region and its focus on specialized software solutions for both public and private sectors. With a P/E ratio of 13.7 and a dividend yield of 0.85%, the company demonstrates financial stability and shareholder returns. Growth catalysts include the increasing demand for digital transformation solutions, particularly in the public sector, and the expansion of its cloud-based offerings. The company's strong focus on data security and compliance positions it well to capitalize on the growing need for secure information management solutions. However, potential risks include competition from larger, more established players and the challenges of expanding into new markets. The company's beta of 0.83 suggests lower volatility compared to the overall market.

Based on FMP financials and quantitative analysis

FBSFF Key Highlights

• Market capitalization of $198.51M, indicating a solid valuation within the software application sector.
• P/E ratio of 13.7, suggesting the company is reasonably valued compared to its earnings.
• Profit margin of 9.7%, reflecting the company's ability to generate profit from its revenue.
• Gross margin of 45.5%, indicating efficient cost management in delivering its software and cloud services.
• Dividend yield of 0.85%, providing a steady income stream for investors.

Who Are FBSFF's Competitors?

FBSFF is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.

AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance

What Are FBSFF's Key Strengths?

• Strong presence in the DACH region.
• Specialized solutions for the public sector.
• Comprehensive product portfolio.
• Focus on data security and compliance.

What Are FBSFF's Weaknesses?

• Limited geographic diversification.
• Smaller size compared to major competitors.
• Dependence on specific industries and markets.
• OTC market trading may limit liquidity.

What Could Drive FBSFF Stock Higher?

• Increasing demand for digital transformation solutions in the public sector.
• Expansion of cloud-based offerings and subscription revenue.
• Development and launch of new AI-powered solutions.
• Potential strategic partnerships with other technology providers.
• Possible expansion into new geographic markets.

What Are the Key Risks for FBSFF?

• Competition from larger, more established players.
• Rapid technological advancements and evolving customer needs.
• Economic downturns and their impact on IT spending.
• Changes in regulations and compliance requirements.
• Limited liquidity due to OTC market trading.

What Are the Growth Opportunities for FBSFF?

• Expansion of Cloud Services: Fabasoft can capitalize on the growing demand for cloud-based solutions by expanding its Fabasoft Business Process Cloud and other cloud offerings. The global cloud computing market is projected to reach $832.1 billion by 2025, presenting a significant opportunity for Fabasoft to increase its market share. Timeline: Ongoing.
• Penetration of the Public Sector: Fabasoft's eGov-Suite positions it well to capture a larger share of the public sector market, which is increasingly adopting digital solutions for records management and governance. The global e-governance market is expected to reach $48.8 billion by 2027. Timeline: Ongoing.
• AI-Powered Solutions: The company can leverage its Mindbreeze InSpire platform to develop and offer AI-powered solutions for information insights and knowledge management. The global AI market is projected to reach $190.61 billion by 2025, providing a significant growth opportunity. Timeline: Ongoing.
• Strategic Partnerships: Fabasoft can form strategic partnerships with other technology providers to expand its reach and offer integrated solutions. Collaborations with complementary businesses can enhance Fabasoft's product offerings and market presence. Timeline: Ongoing.
• Geographic Expansion: While Fabasoft primarily operates in the DACH region, expanding into other European markets or even North America could significantly increase its revenue potential. The global software market is vast, and Fabasoft's solutions could be adapted to meet the needs of organizations in other regions. Timeline: 3-5 years.

What Opportunities Does FBSFF Have?

• Expansion of cloud services.
• Penetration of the public sector.
• Development of AI-powered solutions.
• Strategic partnerships.

What Threats Does FBSFF Face?

• Competition from larger, more established players.
• Rapid technological advancements.
• Economic downturns.
• Changes in regulations and compliance requirements.

What Are FBSFF's Competitive Advantages?

• Specialized Solutions: Fabasoft offers specialized solutions tailored to specific industries and use cases, such as the public sector.
• Strong Regional Presence: The company has a strong presence in the DACH region, providing a competitive advantage in these markets.
• Comprehensive Product Portfolio: Fabasoft offers a comprehensive suite of software and cloud services, addressing a wide range of organizational needs.
• Data Security Focus: The company's strong focus on data security and compliance provides a competitive advantage in regulated industries.

What Does FBSFF Do?

Founded in 1988 and headquartered in Linz, Austria, Fabasoft AG has evolved into a provider of software products and cloud services for both public and private sectors. The company operates primarily in Austria, Germany, and Switzerland, offering a suite of solutions designed to manage information, automate workflows, and facilitate digital transformation. Fabasoft's product portfolio includes Fabasoft eGov-Suite, an electronic records management system tailored for the public sector, ensuring compliance and efficient governance. Fabasoft Folio provides on-premises workflow and enterprise content management capabilities for organizations seeking to streamline operations and improve collaboration. Mindbreeze InSpire offers appliances and cloud services for information insights, knowledge management, and artificial intelligence, enabling businesses to leverage data for strategic decision-making. Additional solutions include Fabasoft Approve for technical data and document management, Fabasoft Business Process Cloud for digitizing cross-company business processes, Xpublisher for automated multi-channel publishing, Fabasoft Contracts for cloud-based contract management, and Fabasoft Secomo for secure handling of signing processes and corporate data protection. The company also provides tools like Fabasoft app.telemetry for application performance monitoring, Fabasoft app.ducx for use case-based development, and Fabasoft app.test for business application testing. Fabasoft's comprehensive offerings cater to a wide range of organizational needs, emphasizing security, compliance, and efficiency.

What Products and Services Does FBSFF Offer?

• Develops and provides electronic records management systems for the public sector.
• Offers workflow and enterprise content management systems for organizations.
• Provides appliances and cloud services for information insights, knowledge management, and artificial intelligence.
• Offers solutions for managing technical data and documents.
• Provides cloud-based contract management software.
• Enables handling of signing processes and protection of corporate data.
• Offers tools for monitoring application performance and response times.
• Provides a use case based development environment for business applications.

How Does FBSFF Make Money?

• Software Licensing: Generates revenue through the sale of software licenses for its various products.
• Cloud Services: Offers cloud-based services on a subscription basis, providing recurring revenue.
• Consulting and Implementation: Provides consulting and implementation services to help customers deploy and use its software solutions.
• Maintenance and Support: Offers maintenance and support services to ensure the ongoing operation of its software products.

What Industry Does FBSFF Operate In?

Fabasoft AG operates in the competitive software application industry, which is characterized by rapid technological advancements and evolving customer needs. The market is driven by the increasing demand for digital transformation solutions, cloud-based services, and data security. Fabasoft differentiates itself by focusing on specialized solutions for the public sector and offering a comprehensive suite of products that address various organizational needs. The company competes with both large, established players and smaller, niche providers. The global application software market is projected to reach $314.84 billion in 2026, growing at a CAGR of 11.7% from 2021.

Who Are FBSFF's Key Customers?

• Public Sector Organizations: Governments and public agencies use Fabasoft's eGov-Suite for electronic records management.
• Private Sector Enterprises: Businesses across various industries use Fabasoft Folio for workflow and content management.
• Organizations Seeking AI Solutions: Companies looking to leverage AI for information insights and knowledge management use Mindbreeze InSpire.

FY2026 estForward Outlook

Wall Street analysts project Fabasoft AG revenue of about $88.9M for fiscal 2026, with EPS near $0.76.

FBSFF Valuation & Market Position

With a $198.51M market cap, Fabasoft AG sits in the micro-cap segment of the market. Relative to its peer group, FBSFF's quantitative score of 51/100 is roughly in line with the peer average of 46/100.

ROE 27%Key Financial Metrics

Return on equity for Fabasoft AG stands at 27.1%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 9.6%, showing how much profit it generates from its asset base. FBSFF trades at a trailing price-to-earnings ratio of 13.69, below the Technology sector average of ~38x. Its free cash flow yield is 9.9%, a gauge of the cash the business throws off relative to its market value. A current ratio of 1.42 indicates the company holds enough short-term assets to cover its near-term obligations. Its earnings yield is 6.9%, the inverse of the P/E and a quick read on earnings relative to price.

F-Score 6/9Financial Health

Fabasoft AG's Piotroski F-Score is 6/9, a 9-point checklist of profitability, leverage and efficiency — a middling fundamental profile. Its Altman Z-Score of 3.34 places it in the safe zone, indicating low near-term bankruptcy risk.

Company Profile

Fabasoft AG operates in the Software - Application industry within the Technology sector. It is headquartered in Linz, AT. The company is led by CEO Helmut Fallmann. FBSFF has traded publicly since 2019.

FBSFF Financials

FBSFF Latest News

FBSFF Analyst Consensus

FBSFF MoonshotScore

What Investors Ask About Fabasoft AG (FBSFF) — Technology

Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

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