Swedish micro and small companies

Stocks
1

There are many potential micro and small-cap companies listed on the Stockholm stock exchange. It would be interesting to discuss them and perhaps get new ideas, so I’m opening a thread.

What companies do you own?

I have Oncology Venture (pharmaceutical sector) in my portfolio. The company is developing, among other things, DRP technology, which would enable cancer drugs to be targeted at patients for whom the drug is effective. Previously, cancer drugs that didn’t work for a sufficient number of patients (at least 20-30% response) could not be approved, so the technology would be groundbreaking. Product approval and market entry will still take years (if successful), so the investment carries significant risk. In addition, the company has several drugs in its development pipeline and its own patents in its portfolio.

More about the company here

8 Likes
2

If anyone’s interested, Redeye is offering a live broadcast all day today.

Redeye Tech Day - November 20, 2019

4 Likes
3

I also found a thread like this and I’m more interested in the Swedish stock market now, so I’ll put this here to hopefully get some discussion going.

https://www.investtech.com/se/market.php?CountryID=46&p=staticPage&fn=freeArticles

There are at least hype, gaming, and pharmaceutical companies on that list.

2 Likes
4

Zignsec, a company that develops authentication applications, has recently experienced tremendous growth. Its results were better than expected, and it has secured numerous contracts around the world. I’ve owned this for some time, and even at its current price, it’s a highly recommended long-term investment.

More information in Swedish:

2 Likes
5

I found this thread in the depths of the forum, so I’ll bring up a very interesting topic that caught my eye, hoping to find someone more familiar with this company or even a shareholder.

From Qt’s peer group report, I spotted a Swedish company called IAR Systems Group AB https://www.iar.com/. The company is an almost 40-year-old Swedish software house that, like Qt, provides tools in the field of embedded systems. Here’s a snapshot of the company in a nutshell (source: DNB report):

image
image1611×570 187 KB

A few years ago, IAR Systems was also brought up by Inderes in relation to Qt from a competition perspective: Qt Group vs. IAR Systems - Inderes, but instead of being a direct competitor, it is actually one of Qt’s partners: Press and Stock Exchange Releases.

There has been a commendable discussion about Qt’s valuation for a long time, and this is precisely why IAR came up from the peer group.

image
image1647×196 92.8 KB

One interesting point about the company is the 2018 acquisition of Secure Skillz, which operates in the IoT security field Embedded Development - Enhance Security and Efficiency | IAR, and which IAR currently owns 100%.

DNB has been bullish on IAR for quite some time, and here is a link to the full report I referred to: https://www.iar.com/siteassets/investors/corporate-governance/general-meetings/2021/iar_systems_q1_2021_review.pdf.

DNB sees IAR’s fair value settling between SEK 180-250, and at the time of writing, the company is trading at SEK 139.60 in Stockholm.

Personally, the company still requires a bit more detailed scrutiny and research, so I would indeed be interested if there are any insights here. From a valuation perspective, this seems quite attractive, but my expertise is not yet sufficient to assess the extent to which the product itself has the prerequisites for future success.

Among the owners, Aktia and Säästöpankki have invested in this company through a couple of different funds: About | IAR.

image
image1487×627 83.7 KB

15 Likes
6

A bit old news, but in the 90s I coded for a living with IAR tools. They were good, I recommended them (note: past tense) :grinning_face::+1:

5 Likes
7

“I bought a small batch of this last week or the week before when I spotted it while researching Aktia’s small-cap fund holdings. I haven’t really bothered to delve into it much yet, but it seemed interesting, so I bought it so I wouldn’t forget.”

5 Likes
8

I stumbled upon a micro-cap company called Cyber Security 1 AB. One can probably guess the company’s industry from the name :smiley: The company had a significantly oversubscribed share issue (approx. 250%) and, for the first time in a long while, a positive result in the first quarter. It seems like a potential turnaround company at an interesting stage, which appears quite cheap due to past missteps. Has anyone been following this more closely?