olivLaw · European equity research
TXT e-solutions S.p.A. TXT.MI
Italy · Euronext Milan · ISIN IT0001454435 · Vertical: Listed companies from Italy
TXT e-solutions is an Italian group listed on the Star segment of Borsa Italiana, active in software engineering and digital solutions for clients in sectors such as aerospace, defence and the public sector. Its strategy combines acquisitions, such as FastCode, with diversification of its technology offer, while it continues its 2024 M&A plan. Its share capital is 6,503,125 euro, divided into 13,006,250 shares.
At the close of 05 Nov 2026, TXT e-solutions S.p.A. (TXT.MI) stock was 47.30 EUR (−3.47% on the day), with market capitalisation 551.7 m EUR, P/E 35.6 on diluted EPS of 1.33 EUR over the last 12 months, dividend yield 0.39%, beta 0.60, 52-week range 23.85–55.60 EUR.
Data as of · AI analysis dated · Source: ESEF annual reports and closing prices, computed by olivLaw.
Price history
Loading chart…
Technical reading
- RSI (14)
- 43.7
- weak (30–45)
- Bollinger (20, 2)
- 45.23 – 51.50
- in the lower half of the band · %B 0.33 · band width 13.0%
- SMA 50 / 200
- 50.77 / 39.73
- mixed trend
- MACD (12, 26, 9)
- -1.05 / -1.13
- MACD above signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | EURO STOXX 50 | vs EURO STOXX 50 | Vertical median | |
|---|---|---|---|---|
| 1 month | −10.1% | −0.6% | −9.4 pp | — |
| 3 months | −6.3% | −4.2% | −2.2 pp | — |
| 6 months | +38.9% | +4.3% | +34.6 pp | — |
| Year to date | +55.3% | +7.5% | +47.8 pp | — |
| 1 year | +46.9% | +9.9% | +37.0 pp | −6.1% |
| 3 years | +192.7% | +49.8% | +142.9 pp | +7.7% |
| 5 years | +405.3% | +42.8% | +362.5 pp | — |
Price returns, dividends excluded.
Quarterly results
ESEF annual reports carry no quarters: the results are annual (below).
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Today's P/E sits at the 100 percentile of its own 3-quarter history (min 12.7, median 14.9, max 15.1; quarters with earnings only).
Fiscal years
| Fiscal year | 2021 | 2022 | 2023 |
|---|---|---|---|
| Revenue | 96.4 m | 150.8 m | 224.4 m |
| Revenue YoY | unavailable | +56.4% | +48.8% |
| Net income | 7.9 m | 12.0 m | 15.5 m |
| Net income YoY | unavailable | +52.3% | +29.4% |
| Diluted EPS | 0.67 | 1.01 | 1.33 |
| Diluted EPS YoY | unavailable | +50.7% | +31.7% |
| net % | 8.2% | 8.0% | 6.9% |
| Free cash flow | 7.6 m | 16.5 m | 19.8 m |
Balance sheet & financial health
Fiscal year 2023 · 31 Dec 2023
- Cash
- 37.9 m EUR
- Financial debt
- unavailable EUR
- Net debt
- unavailable EUR
- Equity
- 113.9 m EUR
- Total assets
- 302.2 m EUR
- Debt / equity
- unavailable
- Current ratio
- 1.42x
- ROE
- 13.9%
- ROA
- 5.1%
- FCF margin
- 8.8%
Financial statements (source on every figure)
Revenue and net income (EUR)
Margins
Income statement · EUR
| Line | 2021 | 2022 | 2023 | Source (latest year) |
|---|---|---|---|---|
| Revenue | 96.4 m | 150.8 m | 224.4 m | esef· 10 Apr 2024verified |
| Operating income | 9.6 m | 13.9 m | 20.2 m | esef· 10 Apr 2024verified |
| Pre-tax income | 10.3 m | 16.2 m | 21.0 m | esef· 10 Apr 2024verified |
| Income tax | 2.5 m | 4.2 m | 5.5 m | esef· 10 Apr 2024verified |
| Net income | 7.9 m | 12.0 m | 15.5 m | esef· 10 Apr 2024verified |
| Diluted EPS | 0.67 | 1.01 | 1.33 | esef· 10 Apr 2024verified |
| Dividend per share | 0.04 | 0.00 | 0.18 | esef· 10 Apr 2024derived |
Balance sheet · EUR
| Line | 2021 | 2022 | 2023 | Source (latest year) |
|---|---|---|---|---|
| Cash | 36.1 m | 33.0 m | 37.9 m | esef· 10 Apr 2024verified |
| Inventories | 7.8 m | 13.8 m | — | esef· 30 May 2023verified |
| Current assets | 144.8 m | 183.7 m | 170.8 m | esef· 10 Apr 2024verified |
| Property, plant & equipment, net | — | 18.3 m | 20.4 m | esef· 10 Apr 2024verified |
| Goodwill | 47.1 m | 63.5 m | 65.0 m | esef· 10 Apr 2024verified |
| Intangibles (excl. goodwill) | 8.0 m | 14.5 m | 20.9 m | esef· 10 Apr 2024verified |
| Total assets | 228.6 m | 300.8 m | 302.2 m | esef· 10 Apr 2024verified |
| Accounts payable | — | 36.7 m | 34.8 m | esef· 10 Apr 2024verified |
| Current liabilities | 80.7 m | 112.8 m | 120.0 m | esef· 10 Apr 2024verified |
| Total liabilities | 135.5 m | 191.4 m | 188.4 m | esef· 10 Apr 2024verified |
| Equity | 109.4 m | 109.4 m | 113.9 m | esef· 10 Apr 2024verified |
| Shares outstanding at year end | 11.8 m | 11.9 m | 11.7 m | esef· 10 Apr 2024derived |
Cash flow · EUR
| Line | 2021 | 2022 | 2023 | Source (latest year) |
|---|---|---|---|---|
| Operating cash flow | 8.5 m | 18.2 m | 22.2 m | esef· 10 Apr 2024verified |
| Capex | 941.6 k | 1.7 m | 2.4 m | esef· 10 Apr 2024verified |
| Free cash flow | 7.6 m ≈ | 16.5 m ≈ | 19.8 m ≈ | esef· 10 Apr 2024derived |
| Investing cash flow | -10.3 m | -32.5 m | 11.1 m | esef· 10 Apr 2024verified |
| Financing cash flow | 25.9 m | 11.0 m | -28.8 m | esef· 10 Apr 2024verified |
| Dividends paid | 521.4 k | 0 | 2.1 m | esef· 10 Apr 2024verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
1 indicators that do not apply to the sector.
Valuation
olivLaw classification
- score weight coverage: 45.8% of at least 60%
A scoring methodology on indicators and valuation, not investment advice.
Closing price
05 Nov 2026Source: olivLaw, closing series
Market cap: 551.7 m EUR
Key indicators
Coverage and freshness
The data is older than the freshness threshold.
Score by group
46% · Insufficient data
Estimated value range
The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 8.37 – 30.39 EUR.
Methods computed but outside the aggregate range: Dividend discount (DDM) (a small share of earnings is paid as dividends (capital returns through buybacks): the dividend model does not describe the value and stays outside the aggregate).
Valuation assumptions are editorial choices, not measured; beta is not measured.
Method ranges (EUR per share)
— — Mid · ▏ Price
Valuation methods
- DCF (discounted cash flow)unavailable · input data missing
- Peers: EV/EBITDAunavailable · net debt missing: EV cannot be bridged to equity (missing debt is not zero)
- Peers: P/E8.37 – 30.39 (Mid 17.63)20 companies used · median multiple 13.3x · quartiles 6.3x – 22.9xAC5.MI, ACE.MI, ADB.MI, AEF.MI, AMP.MI, ARN.MI, ASC.MI, BC.MI, BEC.MI, CAI.MI, CIR.MI, CLF.MI, CMB.MI, COM.MI, CRL.MI, CY4.MI, DEX.MI, DIA.MI, DLG.MI, DNR.MI
- Dividend discount (DDM)outside the aggregate2.50 – 3.41 (Mid 2.89)a small share of earnings is paid as dividends (capital returns through buybacks): the dividend model does not describe the value and stays outside the aggregate
Assumptions (illustrative, editorial)
- Risk-free rate
- 3.0%
- Equity risk premium
- 5.5%
- Beta (default)
- 1.00
- Cost of equity
- 8.5%
- Terminal growth
- 2.0%
Factor scorecard
Insufficient data
Minimum-evidence gate: score weight coverage: 45.8% of at least 60%
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | unavailable | unavailable | — |
| Net margin · Quality | 6.9% | 51 (vs peers) | 14% |
| FCF conversion · Quality | 127.4% | 100 (on a fixed band) | 14% |
| Revenue CAGR 3Y · Growth | unavailable | unavailable | — |
| EPS CAGR 3Y · Growth | unavailable | unavailable | — |
| Net debt / EBITDA · Balance sheet | unavailable | unavailable | — |
| Interest coverage · Balance sheet | unavailable | unavailable | — |
| Current ratio · Balance sheet | 1.4x | 52 (on a fixed band) | 9% |
| P/E (TTM) · Valuation | 35.6x | 14 (vs peers) | 23% |
| EV/EBITDA · Valuation | unavailable | unavailable | — |
| FCF yield · Valuation | 3.6% | 45 (on a fixed band) | 18% |
| Shareholder yield (distributions) · Returns | 0.4% | 6 (on a fixed band) | 14% |
| Payout ratio (FCF) · Returns | 10.9% | 100 (on a fixed band) | 9% |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet· partial52/100 · 1/3 factors with a value
- Growth· partialunavailable · 0/2 factors with a value
- Quality76/100 · 2/3 factors with a value
- Returns43/100 · 2/2 factors with a value
- Valuation27/100 · 2/3 factors with a value
A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.
Memo
TXT E-SOLUTIONS S.P.A. (TXT.MI). Latest full fiscal year: 2023; data up to 2023-12-31.
Figures computed from the financial statements: revenue 224.4 m EUR in 2023; YoY growth 48.8%; net margin 6.9%; ROE 13.9%.
The estimated value range is 8.37–30.39 EUR per share (median of 1 methods, agreement: single method); assumptions are illustrative. Against the central value of 17.63 EUR, the price of 47.30 EUR leaves a potential of -62.7% (value / price − 1) and a margin of safety of -168.3% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
Insufficient data for a verdict (score weight coverage: 45.8% of at least 60%).
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- FCF conversion: 127.4%
- Payout ratio (FCF): 10.9%
What contradicts it
- P/E (TTM): 35.6x
- Shareholder yield (distributions): 0.4%
- The price is above the estimated value range
Not assessed (insufficient data or a ratio without meaning): ROIC, Revenue CAGR 3Y, EPS CAGR 3Y, Net debt / EBITDA, Interest coverage, EV/EBITDA.
Versus the vertical median
Listed companies from Italy · same country · compared with 39 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| DLG.MIDe' Longhi S.p.a. | 6.8 bn | 21.5 | 15.4% | 8.4% | +8.7% | +24% / +60% |
| ACE.MIAcea S.p.a. | 4.6 bn | 9.6 | 18.2% | 16.6% | +0.2% | −4% / +73% |
| DIA.MIDiasorin S.p.a. | 4.3 bn | 28.3 | 9.2% | 13.0% | +0.8% | +31% / −7% |
| CRL.MICarel Industries S.p.a. | 2.9 bn | 39.5 | 16.1% | 11.7% | +8.7% | +3% / +10% |
| AMP.MIAmplifon S.p.a. | 2.7 bn | 29.9 | 8.5% | 3.8% | −0.6% | −9% / −58% |
| CMB.MICembre S.p.a. | 1.3 bn | 27.0 | 20.6% | 18.9% | +6.7% | +11% / +108% |
| COM.MIComer Industries S.p.a. | 1.3 bn | 18.6 | 12.8% | 7.1% | −23.0% | +8% / +64% |
| DNR.MIIndustrie De Nora S.p.a. | 1.1 bn | 13.4 | 8.6% | 9.4% | +1.4% | −22% / −62% |
| ARN.MIAlerion Clean Power S.p.a. In Forma Abbreviata Alerion S.p.a. | 969.2 m | 10.4 | 23.5% | 41.0% | +1.8% | −5% / −23% |
| AVIO.MIAvio S.p.a. | 883.6 m | 86.8 | 2.1% | 1.8% | +21.5% | +18% / +291% |
| CIR.MICir S.p.a. - Compagnie Industriali Riunite | 783.3 m | 6.0 | 17.1% | 7.3% | +1.6% | +4% / +72% |
| ASC.MIAscopiave S.p.a. | 646.3 m | 18.0 | 4.2% | 17.5% | +13.4% | −8% / +33% |
| TXT.MITxt E-Solutions S.p.a. | 551.7 m | 35.6 | 13.9% | 6.9% | +48.8% | +52% / +169% |
| AC5.MIAcinque S.p.a. | 412.6 m | 19.6 | 4.1% | 3.6% | +0.2% | −6% / +8% |
| BAN.MIBasic Net S.p.a. | 348.0 m | — | -4.9% | -3.5% | +0.4% | −30% / +5% |
| ADB.MIAeroporto Guglielmo Marconi Di Bologna S.p.a. | 324.7 m | 13.1 | 11.1% | 13.7% | +9.2% | −2% / +12% |
| CAI.MICairo Communication S.p.a. | 289.2 m | 6.4 | 8.1% | 4.4% | −1.3% | −22% / +28% |
| ECNL.MIAquafil S.p.a. | 129.6 m | — | -3.2% | -0.9% | −3.9% | −1% / −52% |
| BEC.MIB&C Speakers S.p.a. | 118.7 m | 11.7 | 18.5% | 10.2% | −1.3% | −26% / −32% |
| ABT.MIAbitare In S.p.a. | 76.0 m | 276.0 | 0.4% | 0.4% | +39.8% | −6% / −47% |
| ELC.MIElica S.p.a. | 64.3 m | — | -7.8% | -2.2% | +1.9% | −34% / −48% |
| DEX.MIDexelance S.p.a. | 50.7 m | 2.8 | 11.0% | 5.4% | +12.6% | −63% / −78% |
| CLE.MIClass Editori S.p.a. | 35.1 m | — | -29.2% | -3.8% | −0.7% | −9% / +106% |
| CLF.MICaleffi - S.p.a. | 11.6 m | 5.2 | 10.9% | 3.8% | −2.5% | −4% / −10% |
| AEF.MIAeffe S.p.a. | 10.1 m | 0.5 | 21.9% | 7.7% | −21.3% | −59% / −86% |
1- and 3-year price returns: for TXT.MI from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (EUR)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | 30.91 Total return -34% · Per year -34% | 54.40 Total return 15% · Per year 15% | 81.59 Total return 73% · Per year 73% |
| 3 years | 36.66 Total return -21% · Per year -8% | 71.94 Total return 54% · Per year 15% | 117.49 Total return 150% · Per year 36% |
| 5 years | 43.49 Total return -6% · Per year -1% | 95.14 Total return 104% · Per year 15% | 169.19 Total return 262% · Per year 29% |
- Exit P/E± 17.98
- Net margin± 12.59
- Annual revenue growth± 9.39
- Annual dilution± 1.06
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
In brief
TXT e-solutions is an Italian group listed on the Star segment of Borsa Italiana, active in software engineering and digital solutions for clients in sectors such as aerospace, defence and the public sector. Its strategy combines acquisitions, such as FastCode, with diversification of its technology offer, while it continues its 2024 M&A plan 1. Its share capital is 6,503,125 euro, divided into 13,006,250 shares 1.
SWOT
Strengths
- The group has a diversified offer in software engineering and benefits from synergies among the entities of the TXT ecosystem 1.
- The company has been listed for a long time, has a detailed governance structure and adheres to the Corporate Governance Code 1.
- The cloud skills added through the FastCode acquisition strengthen the technology portfolio 1.
Weaknesses
- The growth strategy depends on acquisitions, which can complicate integration and debt management 1.
- The group is relatively small, and its operational structure is described as lean, with limited resources to cover several projects at once 1.
- Some bank financing contracts may be renegotiated in case of a change of control, which introduces dependence on lenders 1.
Opportunities
Risks
- Acquisition integration riskmedium
If the integration of FastCode and other acquisitions does not produce the expected synergies, results could be affected 1.
- Financing riskmedium
M&A financing depends on new credit lines and asset disposals, and changes in market conditions could make access to funds more difficult 1.
- Change of controllow
Bank financing contracts may include renegotiation clauses in case of a change of control, which could influence the financial structure 1.
- Dependence on specific sectorsmedium
The expected growth rests on aerospace, defence and the public sector, and a fall in demand there could affect revenue 1.
- Concentration on enterprise clientslow
Revenue dependent on large enterprise clients may be vulnerable to budget cuts 1.
Investment thesis
What would need to be true (bull case)
- If acquisitions integrate well, the group could rapidly extend its cloud skills and digital offer 1.
- Demand from the aerospace, defence and public sector could support organic growth in the Software Engineering division 1.
- The diversified portfolio structure can reduce dependence on a single technology or market 1.
What to watch
- Integration of FastCode and its contribution to Software Engineering revenue2024
- Execution of the 2024 acquisition plan and how it is financed2024
- Organic growth in Aerospace & Defence and Public Sector2024
- Results and development of the Stock Options Plan2025
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
The business
TXT e-solutions S.p.A. is an Italian company, listed since July 2000 on the Star segment of Borsa Italiana under the symbol TXT.MI, which presents itself as a group of digital solutions and software engineering 1. It describes its activity as organised around a Software Engineering division, which supplies enabling technologies for the digital transformation of clients in an increasing range of market segments 1. The company has been classified as a PMI since 2014 under Italian financial legislation 1.
The group pursues an acquisition plan aimed at integrating new technologies and specialised digital skills, both in the domestic market and internationally 1. The financing of these operations is planned from existing liquidity, new credit lines, the disposal of financial assets and the use of treasury shares in portfolio 1. In December 2023 the acquisition of FastCode was completed, adding cloud skills and front-end, back-end and software architecture digital services 1.
The governance structure provides for a Board of Directors appointed for three years, a Remuneration Committee, a Control and Risks Committee and a Board of Statutory Auditors, and the company declares its adherence to the Corporate Governance Code 1. The group has also started a research project in extended reality, in which it acts as prime contractor in a temporary grouping of companies 1.
Segments
Software Engineering
The Software Engineering division is the main engine of the group, with investment in diversifying the offer and in technologies that accelerate clients' digital transformation 1. The organic growth expected for 2024 rests on the digital offer in the Aerospace & Defence and Public Sector markets 1. The FastCode acquisition is integrated into this division and adds cloud skills, including cloud migration and cloud application development 1.
Research projects and extended reality
The group takes part as prime contractor in a research project dedicated to rehabilitation solutions with innovative cores of extended reality based on metaverse, alongside institutions such as CNR, Università Cattolica del Sacro Cuore and Fondazione Don Gnocchi 1. This segment complements the software engineering offer with applications in healthcare 1.
Market context
The market in which TXT e-solutions operates is that of software engineering services and digital solutions for enterprise clients, with a focus on the aerospace, defence and public administration sectors 1. The group's acquisition strategy aims at the edges of these markets and at strengthening skills on the international market 1. The sources analysed do not provide detailed information on the total size of the market or on market shares.
Demand for cloud services and digital transformation is cited as a supporting factor for the group's offer, and coverage of large enterprise clients appears as a relevant component of revenue 1. The actual impact of these trends on results depends on the execution of acquisitions and their integration 1.
Trends
- Digital transformation and cloudtailwind
The group's clients are adopting enabling technologies for digitalisation, and the cloud skills from FastCode extend the offer in this area 1. If demand for cloud migration continues, the group's position could benefit from the broader portfolio 1.
- Acquisitions as a growth drivermixed
The 2024 M&A plan aims at integrating new technologies and skills, and financing relies on mixed resources 1. This strategy could accelerate growth, but it carries integration and execution risks 1.
- Demand from aerospace, defence and the public sectortailwind
Organic growth in 2024 is supported by the digital offer for the Aerospace & Defence and Public Sector markets 1. Demand from these industries could support the revenue of the Software Engineering division 1.
- Pressure on acquisition financingheadwind
Financing of acquisitions depends on available liquidity, new credit lines and the disposal of financial assets, which makes the strategy sensitive to financing conditions 1. If access to credit worsens, the pace of acquisitions could slow 1.
Competitive position
The sources analysed do not explicitly identify the group's competitors. The company operates in a competitive space of software engineering and digital services, where competition comes from suppliers offering similar services to enterprise clients 1. The group's advantage is described through the synergies among entities of the TXT ecosystem 1.
- Software engineering service providers
Generic competitors in software and cloud services for enterprise clients; the sources do not name them.
- Defence and aerospace solution providers
Companies offering digital services in the sectors targeted by the Software Engineering division.
- Cloud service providers
Competition on cloud migration and cloud application development, an area strengthened through FastCode.
- Digital integrators for the public sector
Competition on digital projects in public administration.
News & filings
In the press
No news in our archive over the last 180 days.
Annual reports (ESEF)
- Annual report 202310 Apr 2024
- Annual report 202310 Apr 2024
- Annual report 202230 May 2023
- Annual report 202130 May 2023
Sources
- [1] Annual report, fiscal year ended 2023-12-31 (ESEF) · SEC / TXT e-solutions S.p.A. · 31 Dec 2023
Figures computed by olivLaw from ESEF annual reports and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.