Why Serviceware SE (ETR:SJJ) Could Be Worth Watching

Serviceware SE (ETR:SJJ), is not the largest company out there, but it led the XTRA gainers with a relatively large price hike in the past couple of weeks. The company is now trading at yearly-high levels following the recent surge in its share price. As a small cap stock, hardly covered by any analysts, there is generally more of an opportunity for mispricing as there is less activity to push the stock closer to fair value. Is there still an opportunity here to buy? Let's examine Serviceware's valuation and outlook in more detail to determine if there's still a bargain opportunity.
This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality.
The stock seems fairly valued at the moment according to our valuation model. It's trading around 10.75% above our intrinsic value, which means if you buy Serviceware today, you'd be paying a relatively reasonable price for it. And if you believe that the stock is really worth €13.72, then there isn't really any room for the share price grow beyond what it's currently trading. Is there another opportunity to buy low in the future? Since Serviceware's share price is quite volatile, we could potentially see it sink lower (or rise higher) in the future, giving us another chance to buy. This is based on its high beta, which is a good indicator for how much the stock moves relative to the rest of the market.
See our latest analysis for Serviceware
Future outlook is an important aspect when you're looking at buying a stock, especially if you are an investor looking for growth in your portfolio. Although value investors would argue that it's the intrinsic value relative to the price that matter the most, a more compelling investment thesis would be high growth potential at a cheap price. With revenues expected to grow by 31% over the next couple of years, the future seems bright for Serviceware. If the level of expenses is able to be maintained, it looks like higher cash flow is on the cards for the stock, which should feed into a higher share valuation.
Are you a shareholder? SJJ's optimistic future growth appears to have been factored into the current share price, with shares trading around its fair value. However, there are also other important factors which we haven't considered today, such as the financial strength of the company. Have these factors changed since the last time you looked at the stock? Will you have enough conviction to buy should the price fluctuates below the true value?
Are you a potential investor? If you've been keeping tabs on SJJ, now may not be the most optimal time to buy, given it is trading around its fair value. However, the optimistic prospect is encouraging for the company, which means it's worth diving deeper into other factors such as the strength of its balance sheet, in order to take advantage of the next price drop.
Diving deeper into the forecasts for Serviceware mentioned earlier will help you understand how analysts view the stock going forward. So feel free to check out our free graph representing analyst forecasts.
If you are no longer interested in Serviceware, you can use our free platform to see our list of over 50 other stocks with a high growth potential.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Try Our AI Features

Explore what Daily8 AI can do for you:

Learn with AIFact CheckingText to SpeechAI Summary

Related Articles

Forbes

28 minutes ago

• Forbes

A Tale Of Two Cities In Venture Capital

Like a desert and an oasis, there is a tale of two cities in venture capital 'It was the best of times, it was the worst of times.' On the heels of Super Venture & Super Return Berlin, and a LP/GP summit in Montreal organized by Inovia, I wanted to reflect on what felt like a panoramic view of the industry, across 1) managers of VC funds 2) startups raising capital and 3) incumbents in the public markets. What struck me most wasn't any one deal or datapoint, but the duality of two starkly different realities. The technology industry today, for startups and venture capital firms alike, is best described as a tale of two cities. In venture capital, the divergence could not be more stark. Research by Pitchbook demonstrated that nine firms collected 50% of all venture funding last year. The top 30 took the vast majority, across a few hundred firms that announced raises. At SuperReturn, partners from megafunds spoke about oversubscribed raises. Meanwhile, emerging managers are scraping to survive and define their edge. As Scott Hartley, co-founder and managing partner of Everywhere Ventures told me: 'For emerging managers differentiation is key, as venture returns heavily skew due to a long tail of large outcomes. While it may seem safer to get on-base at bats, median venture returns barely outpace other asset classes. The reason allocators look at VC is for asymmetric exposure, which means providing capital to yet undiscovered drivers of the future economy.' First-time and even second-time funds have faced arguably one of the hardest fundraising markets in history. Similar research from Pitchbook suggests a risk of certain emerging managers dying off. One panelist summed it up succinctly: 'Consolidation is the new diversification.' The gulf between the haves and have-nots is perhaps even more stark in startups, the companies VCs fund. Asaf Horresh of Vintage explained during his Super Venture keynote: 'if you're AI it's 2021'. Capital is flowing freely into foundation model startups, AI infrastructure plays, and workflow automation layers. Several venture firms have reoriented their entire sourcing around AI, and LPs are watching closely. But for nearly everyone else, Asaf put it perfectly: 'you're in the desert.' Even solid companies are seeing down rounds or resorting to insider-led bridges. The bar has never been higher. While I am nervous about nosebleed valuations and non-Camel strategies- the potential for AI justified. But the capital imbalance is striking. At SuperReturn, AI was on nearly every main stage. As Arpan Punyani, Co-Founder and General Partner at Garuda Ventures told me: 'Like the transistor, cloud, or mobile, AI is a foundational enabling technology. If you're not building an AI company at some level, the bar is just incredibly high to raise venture capital now.' Carta noted that seed deals are growing scarcer, demonstrating the growing scarcity. However, average valuations, pulled up by A.I. startups have increased. The other vector in startups was geography. Today, like it or not, capital is re-concentrating in the old capitals partially because of AI: San Francisco, London, Tel Aviv. Startups in non-central ecosystems are finding it that much harder to raise capital. From side conversations, there's a growing sense that global GPs need to 'earn the right' to go abroad again. The irony (and certainly central to my day job at Fluent Ventures) some of the best startups are being built in emerging ecosystems—with less burn, less competition, and lower valuations. The bifurcation is not limited to venture. In the public markets, the 'Magnificent Seven' (Nvidia, Meta, Apple, et al.) account for the lion's share of returns. Small caps and international equities remain underloved. It's the same pattern: consolidation of value, divergence of experience. In the technology industry, the power law is the rule of the game. But the magnitude of the power law is not. As exits increase, releasing DPI, market sentiment calms, and desire for diversification outside the U.S. grows, I expect much of this to normalize. But this will take time and there will certainly be collateral damage. But, as history tells us, sometimes, the revolution begins in the second city.

New York Times

31 minutes ago

• New York Times

Netherlands midfielder Danielle van de Donk joins London City Lionesses from Lyon

London City Lionesses have completed the signing of midfielder Danielle van de Donk from Lyon. The former Arsenal player, 33, joins the newly-promoted side ahead of their first season in the Women's Super League (WSL) after four years at Lyon. The Netherlands international has signed a two-year contract that runs until 2027. This Lioness roars louder in London. 🦁@DanielleDonk — London City Lionesses (@LC_Lionesses) June 20, 2025 Van de Donk said: 'It's just such a nice environment to be in, the club really appeals to me, it reminds me of a little family, and I want to be a part of it! 'The project that London City have, it's different but in a good way. London City have to battle for everything, and that's my style.' The transfer sees Van de Donk move between two Michele Kang-owned clubs, after the U.S. businesswoman completed the purchase of London City in February 2024. Advertisement After beginning her career in the Netherlands, Van de Donk joined Arsenal in 2015 and had six successful years in north London, winning three trophies including the WSL title in 2018. Shen joined Lyon in 2021, where she won three league titles and the Champions League in 2022. The midfielder has also made 167 appearances for the Netherlands, winning the European Championship in 2017. When asked about returning to play in the WSL, she said: 'I was there for six years, and it was very good. I loved it and saw no hesitation in coming back. It's a good league; the stadiums are full, and hopefully we can get more and more fans here too. I'm so excited to meet all of the fans, and I promise that I'll give 100% if you do the same for us.' London City Lionesses won promotion to the WSL for the first time last season by topping the Championship. Analysis by Charlotte Harpur This is a marquee signing for London City Lionesses and shows they are prepared to spend big to attract names. The aim seemingly is to build their brand and boost attendances in their maiden WSL season. It comes as a surprise that Van de Donk, a statement name in women's football with a Champions League winner's medal to her name and four league titles with Arsenal (one) and Lyon (three), has made the switch. But Kang's vision has evidently appealed to the 33-year-old versatile midfielder who will bring plenty of experience to the newly promoted team.

Bloomberg

31 minutes ago

• Bloomberg

US Stocks Gain as Fed's Waller Offers Hope on July Rate Cut

US stocks rose on Friday as investors returned from the Juneteenth holiday break to evaluate recent comments from a top Federal Reserve official as well as the latest developments in the conflict between Israel and Iran. The S&P 500 Index gained 0.6% at 9:43 a.m. in New York, with the benchmark teetering between a weekly gain or loss. The tech-heavy Nasdaq 100 Index advanced 0.8%. The VIX Index hovered around 19.