Rankings Software, cloud & internet cBrain
cBrain
72
15070100
A view of the same findings, not a new score. How it works
A strong score: the model found few serious problems, but analysts see limited upside from here.
Biggest deductions
- Quality of growth−4
- Absolute level and peers−4
- Guidance credibility−4
Strengths
- Raised guidance+2
- Recurring revenue+2
- New reference in the US+1
How the score is built
From 100 to 72, step by step: points off for the business, the price and the cracks, back for documented strengths, then three data adjustments.
Start
Score
Hover or select a step to see what drove it. Steps with findings open them below.
Key numbers
As of 3 Nov 2026. Analyst targets tend to be optimistic; read upside as a hint, not a forecast.
- Price
- 101.00 DKK
- Median analyst target
- 90.00 DKK
- Upside to median
- −10.9%
- Analysts
- 2
- Target range
- 75.00 – 105.00 DKK
- 52-week change
- −32%
- P/E (trailing)
- 42.3
- Forward P/E
- 31.4
- PEG
- n/a
Findings
Every deduction and every plus, with its source. Open a step to read them.
Business
Is the company getting stronger, not just bigger? · 4 findings−10 of −30
- −1MarginEBIT margin is still high (24.0% TTM, EBT 26% in H1 2026), but has fallen from 35.7% (2023) and 33.0% (2024). Gross margin has fallen from 59.5% to 50.2% after licence sales fell.
- −4Quality of growthAfter 20–29% growth a year in 2021–2023, revenue fell 6% in 2025 (251m), because licence sales halved from 69 to 33m after a record year internationally in 2024. H1 2026 was +6%, with Denmark +24% and international revenue falling. The international expansion has not yet delivered stable growth.
- −2MoatF2 is standard software for public case handling and is used by over 75 Danish authorities, which gives high switching costs at home. Outside Denmark, contracts are won one by one in long public sales processes against large integrators and specialized suppliers.
- −3Capital allocation and ROICROIC has fallen from 22–25% (2023–2024) to 14.9%. The company spent about DKK 205m on its own headquarters in 2022, so land and buildings make up about 243m of the assets of 425m. That is an unusual capital outlay for a software company and drags ROIC down.
Price
Today's multiples against the company's own history and its peers. · 2 findings−6 of −35
- −2Multiples vs own historyTrailing P/E 30.9 vs 51–178 in 2021–2025, forward P/E 22.4 vs 28.8–197.6, EV/Sales 5.5 vs 8.9–35.6 and EV/EBITDA 20.6 vs 34–125. The lowest valuation in the history.
- −4Absolute level and peersTyler Technologies, the largest American public-sector software vendor, trades at EV/Sales 5.6 and forward P/E 22.5 with stable growth of approx. 9%. cBrain has the same multiples, but is far smaller and has unstable growth. Adjusted for capitalised development, P/FCF is approx. 28.
Cracks
Cash flow, customers, debt, insiders, guidance and what sits behind the headline numbers. · 4 findings−10 of −35
- −4Guidance credibility2025 guidance was cut twice: in October from 10–15% to 0–5% growth and in December to a decline (about 250m, EBT about 18%), because orders and projects in the USA, Germany and Africa were postponed.
- −3Dependence on public customersThe customers are almost exclusively public authorities. The longest government formation in Danish history hit project activity in Q2 2026, and international projects depend on single large public orders.
- −2H2-heavy guidanceThe annual guidance of 10–15% growth (275–290m) requires over 15% growth in H2 after +6% in H1, and management mentions higher investments in H2. Receivables rose from 37 to 72m in H1.
- −1Key personFounder and CEO Per Tejs Knudsen owns 8.53m shares (about 43%) and has run the company since the start. This gives strong incentives, but also key-person risk and limited free float.
Plus
Only documented strengths. · 3 findings+5 of +15
- +2Raised guidanceEBT margin guidance for 2026 was raised from 15–20% to 20–25% in February 2026 and confirmed in August with an EBT margin of 26% in H1.
- +2Recurring revenueRecurring software revenue rose 19% to DKK 165m in 2025 (two thirds of revenue), and subscriptions were 63% of revenue in H1 2026 (+8%).
- +1New reference in the USFive-year contract with the state of California (Governor's Office of Land Use and Climate Innovation) after a 12-week proof of concept, August 2026. It covers environmental documents, modernization of a public database and an AI interface. The value has not been disclosed.
Caveats
What the score does not capture, or where the data is weak.
Only two analysts (both 'hold'). Stockanalysis' FCF (kr 77m TTM) does not include capitalized development (25m a year); adjusted FCF is about 52m (P/FCF about 28). The share count is 20.0m issued and 19.56m outstanding (the rest treasury shares); market cap is calculated at 19.56m × kr 74.1 = kr 1,449m. Debt (31.5m) is mainly a mortgage on the head office and leases. The value of the California contract is not disclosed. The date of the next earnings announcement was not found. Insider trades over the last 12 months and short data were not found. Profitable operating company with net cash, so runway is set to null.
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