olivLaw · European equity research
Tieto Oyj TIETO.HE
Finland · Nasdaq Helsinki · Vertical: Listed companies from Finland
Tieto Oyj is a Finnish supplier of software services and digital development and consulting, active across four business areas. For 2026 management guided to organic growth from slightly negative to flat and a higher adjusted EBITA margin, against a backdrop of restructuring and a 150 mn euro share buyback programme.
At the close of 06 Nov 2026, Tieto Oyj (TIETO.HE) stock was 18.48 EUR (−2.17% on the day), with market capitalisation 2.2 bn EUR, dividend yield 8.14%, beta 0.57, 52-week range 16.67–21.34 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)
- 44.5
- weak (30–45)
- Bollinger (20, 2)
- 18.04 – 19.81
- in the lower half of the band · %B 0.25 · band width 9.3%
- SMA 50 / 200
- 18.87 / 18.89
- downtrend (price < SMA50 < SMA200)
- MACD (12, 26, 9)
- -0.00 / 0.05
- MACD below 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 | 0.0% | −0.6% | +0.6 pp | — |
| 3 months | −1.3% | −4.2% | +2.8 pp | — |
| 6 months | −6.0% | +4.3% | −10.4 pp | — |
| Year to date | +1.0% | +7.5% | −6.5 pp | — |
| 1 year | +3.9% | +9.9% | −6.0 pp | −1.3% |
| 3 years | −9.1% | +49.8% | −59.0 pp | +4.4% |
| 5 years | −31.6% | +42.8% | −74.4 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.
Fiscal years
| Fiscal year | 2024 | 2025 |
|---|---|---|
| Revenue | 1.9 bn | 1.9 bn |
| Revenue YoY | unavailable | −1.4% |
| Net income | -62.8 m | -140.5 m |
| Net income YoY | unavailable | unavailable |
| Diluted EPS | -0.53 | -1.18 |
| Diluted EPS YoY | unavailable | unavailable |
| net % | -3.3% | -7.6% |
| Free cash flow | unavailable | unavailable |
Balance sheet & financial health
Fiscal year 2025 · 31 Dec 2025
- Cash
- 146.2 m EUR
- Financial debt
- 616.3 m EUR
- Net debt
- 470.1 m EUR
- Equity
- 1.1 bn EUR
- Total assets
- 2.2 bn EUR
- Debt / equity
- 0.57x
- Current ratio
- 1.33x
- ROE
- -11.8%
- ROA
- -5.3%
- FCF margin
- unavailable
Financial statements (source on every figure)
Revenue and net income (EUR)
Margins
Income statement · EUR
| Line | 2024 | 2025 | Source (latest year) |
|---|---|---|---|
| Revenue | 1.9 bn | 1.9 bn | esef· 17 Feb 2026verified |
| Operating income | 142.3 m | 75.2 m | esef· 17 Feb 2026verified |
| Depreciation & amortisation | 95.1 m | 90.8 m | esef· 17 Feb 2026verified |
| EBITDA | 237.4 m ≈ | 166.0 m ≈ | esef· 17 Feb 2026derived |
| Pre-tax income | 97.2 m | 41.0 m | esef· 17 Feb 2026verified |
| Income tax | 27.0 m | 15.3 m | esef· 17 Feb 2026verified |
| Net income | -62.8 m | -140.5 m | esef· 17 Feb 2026verified |
| Diluted EPS | -0.53 | -1.18 | esef· 17 Feb 2026verified |
| Dividend per share | 1.47 | 1.51 | esef· 17 Feb 2026derived |
≈ computed by olivLaw from the reported lines of the same year: Operating income + Depreciation & amortisation.
Balance sheet · EUR
| Line | 2024 | 2025 | Source (latest year) |
|---|---|---|---|
| Cash | 195.1 m | 146.2 m | esef· 17 Feb 2026verified |
| Receivables | 550.7 m | 288.9 m | esef· 17 Feb 2026verified |
| Inventories | 7.1 m | 6.3 m | esef· 17 Feb 2026verified |
| Current assets | 775.9 m | 582.2 m | esef· 17 Feb 2026verified |
| Property, plant & equipment, net | 82.2 m | 17.7 m | esef· 17 Feb 2026verified |
| Goodwill | 1.6 bn | 1.3 bn | esef· 17 Feb 2026verified |
| Intangibles (excl. goodwill) | 313.8 m | 216.3 m | esef· 17 Feb 2026verified |
| Total assets | 3.1 bn | 2.2 bn | esef· 17 Feb 2026verified |
| Accounts payable | 545.4 m | 335.0 m | esef· 17 Feb 2026verified |
| Long-term debt | 569.6 m | 616.3 m | esef· 17 Feb 2026verified |
| Current liabilities | 968.7 m | 438.3 m | esef· 17 Feb 2026verified |
| Equity | 1.3 bn | 1.1 bn | esef· 17 Feb 2026verified |
| Shares outstanding at year end | 118.5 m | 118.1 m | esef· 17 Feb 2026derived |
Cash flow · EUR
| Line | 2024 | 2025 | Source (latest year) |
|---|---|---|---|
| Operating cash flow | 325.7 m | 295.9 m | esef· 17 Feb 2026verified |
| Investing cash flow | -71.8 m | 135.1 m | esef· 17 Feb 2026verified |
| Financing cash flow | -275.4 m | -470.7 m | esef· 17 Feb 2026verified |
| Dividends paid | 174.2 m | 177.7 m | esef· 17 Feb 2026verified |
| Share repurchases | 0 | 5.9 m | esef· 17 Feb 2026verified |
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: 47.9% of at least 60%
A scoring methodology on indicators and valuation, not investment advice.
Closing price
06 Nov 2026Source: olivLaw, closing series
Market cap: 2.2 bn EUR
Key indicators
Coverage and freshness
Score by group
48% · 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: 4.53 – 27.91 EUR.
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/EBITDA4.53 – 5.14 (Mid 4.74)6 companies used · median multiple 6.2x · quartiles 6.1x – 6.5xANORA.HE, ETTE.HE, HARVIA.HE, HONBS.HE, ICP1V.HE, KAMUX.HE
- Peers: P/Eunavailable · the base of the ratio is not positive
- Dividend discount (DDM)20.47 – 27.91 (Mid 23.62)
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: 47.9% of at least 60%
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | 2.9% | 20 (vs peers) | 22% |
| Net margin · Quality | -7.6% | 10 (vs peers) | 13% |
| FCF conversion · Quality | unavailable | unavailable | — |
| Revenue CAGR 3Y · Growth | unavailable | unavailable | — |
| EPS CAGR 3Y · Growth | unavailable | unavailable | — |
| Net debt / EBITDA · Balance sheet | 2.8x | 0 (vs peers) | 22% |
| Interest coverage · Balance sheet | unavailable | unavailable | — |
| Current ratio · Balance sheet | 1.3x | 44 (on a fixed band) | 9% |
| P/E (TTM) · Valuation | unavailable | unavailable | — |
| EV/EBITDA · Valuation | 16.0x | 38 (vs peers) | 22% |
| FCF yield · Valuation | unavailable | unavailable | — |
| Shareholder yield (distributions) · Returns | 8.4% | 100 (on a fixed band) | 13% |
| Payout ratio (FCF) · Returns | unavailable | unavailable | — |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet13/100 · 2/3 factors with a value
- Growth· partialunavailable · 0/2 factors with a value
- Quality16/100 · 2/3 factors with a value
- Returns· partial100/100 · 1/2 factors with a value
- Valuation· partial38/100 · 1/3 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
Tieto Oyj (TIETO.HE). Latest full fiscal year: 2025; data up to 2025-12-31.
Figures computed from the financial statements: revenue 1.9 bn EUR in 2025; YoY growth -1.4%; net margin -7.6%; ROE -11.8%; net debt/EBITDA 2.8x.
The estimated value range is 12.50–16.53 EUR per share (median of 2 methods, agreement: low); assumptions are illustrative. Against the central value of 14.18 EUR, the price of 18.48 EUR leaves a potential of -23.3% (value / price − 1) and a margin of safety of -30.3% (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: 47.9% of at least 60%).
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- Shareholder yield (distributions): 8.4%
What contradicts it
- ROIC: 2.9%
- Net margin: -7.6%
- Net debt / EBITDA: 2.8x
- The price is above the estimated value range
- The valuation methods diverge
Not assessed (insufficient data or a ratio without meaning): FCF conversion, Revenue CAGR 3Y, EPS CAGR 3Y, Interest coverage, P/E (TTM), FCF yield, Payout ratio (FCF).
Versus the vertical median
Listed companies from Finland · 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 | |
|---|---|---|---|---|---|---|
| FORTUM.HEFortum Oyj | 20.7 bn | 27.1 | 8.7% | 15.3% | −14.0% | +31% / +80% |
| ELISA.HEElisa Oyj | 5.5 bn | 16.0 | 27.0% | 15.2% | +3.0% | −10% / −17% |
| KALMAR.HEKalmar Oyj | 2.4 bn | 14.6 | 24.1% | 9.4% | +1.2% | −0% / unavailable |
| KCR.HEKonecranes Oyj | 2.2 bn | 5.6 | 20.3% | 9.5% | −0.9% | −5% / +132% |
| TIETO.HETieto Oyj | 2.2 bn | — | -11.8% | -7.6% | −1.4% | +3% / −8% |
| EXEL.HEExel Composites Oyj | 1.7 bn | — | -18.5% | -5.3% | +3.6% | +157% / +71% |
| BITTI.HEBittium Oyj | 1.2 bn | 54.7 | 17.5% | 17.9% | +40.1% | +69% / +589% |
| ALMA.HEAlma Media Oyj | 1.1 bn | 20.8 | 23.0% | 16.9% | +4.6% | +7% / +54% |
| FIA1S.HEFinnair Oyj | 1.0 bn | 55.3 | 2.9% | 0.6% | +1.9% | +69% / +34% |
| HARVIA.HEHarvia Oyj | 767.8 m | 29.3 | 21.0% | 13.3% | +13.5% | −1% / +64% |
| GRK.HEGRK Infra Oyj | 758.7 m | 17.6 | 27.8% | 4.9% | +19.7% | +46% / unavailable |
| ATRAV.HEAtria Oyj | 453.9 m | 11.2 | 9.8% | 2.2% | +3.3% | +13% / +58% |
| ANORA.HEAnora Group Oyj | 316.3 m | 57.5 | 1.4% | 0.8% | −4.9% | +25% / +10% |
| CAPMAN.HECapMan Oyj | 283.3 m | 21.8 | 6.8% | 20.9% | +9.4% | −13% / −24% |
| ICP1V.HEIncap Oyj | 266.0 m | 19.0 | 10.4% | 6.5% | −6.7% | −1% / +40% |
| FSECURE.HEF-Secure Oyj | 239.5 m | 10.7 | 43.4% | 15.3% | −0.4% | −19% / −24% |
| ASPO.HEAspo Oyj | 216.1 m | 9.2 | 15.4% | 5.0% | +2.1% | 0% / +7% |
| ETTE.HEEtteplan Oyj | 180.2 m | 17.0 | 8.8% | 2.9% | +0.1% | −25% / −49% |
| DIGIA.HEDigia Oyj | 131.1 m | 10.4 | 14.5% | 5.9% | +5.5% | −17% / −12% |
| ILKKA.HEIlkka Oyj | 93.0 m | 8.0 | 6.2% | 30.8% | +22.6% | −1% / +20% |
| CONSTI.HEConsti Oyj | 77.5 m | 11.6 | 15.3% | 2.0% | +2.9% | −8% / −6% |
| APETIT.HEApetit Oyj | 75.6 m | 8.4 | 8.2% | 5.4% | +3.1% | −14% / −3% |
| ESENSE.HEEnersense International Oyj | 71.5 m | 71.3 | 3.1% | 0.4% | −27.7% | +7% / +4% |
| CTH1V.HEComponenta Oyj | 65.7 m | 322.0 | 0.8% | 0.2% | −4.6% | +48% / +180% |
| KAMUX.HEKamux Oyj | 49.4 m | 10.8 | 4.2% | 0.5% | +0.8% | −37% / −76% |
1- and 3-year price returns: for TIETO.HE 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 | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
| 3 years | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
| 5 years | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
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
Tieto Oyj is a Finnish supplier of software services and digital development and consulting, active across four business areas. For 2026 management guided to organic growth from slightly negative to flat and a higher adjusted EBITA margin, against a backdrop of restructuring and a 150 mn euro share buyback programme.
SWOT
Strengths
Weaknesses
Opportunities
Risks
- Negative organic growthhigh
The 2026 guidance points to organic growth between minus two percent and zero, which could weigh on investor confidence if it does not improve 1.
- Restructuring and costsmedium
Restructuring costs and impairment of intangible assets reduced net results in 2025 and could continue to weigh on profitability 1.
- Artificial intelligence risksmedium
Management acknowledges risks such as algorithmic bias, misuse of the technology and reduced human oversight, which could cause reputational damage 1.
- Cybersecurityhigh
Cyber threats and data protection failures could affect contracts with clients in banking and healthcare 1.
- Dependence on public and banking sector demandlow
If clients in these sectors reduce budgets, demand for services could fall 1.
Investment thesis
What would need to be true (bull case)
- If the Banktech segment sustains rapid growth and margins improve towards the profitability guidance, the company could recover from recent organic pressure.
- Share buyback and dividend programmes could support shareholder returns if cash flow stays stable 1.
- If investments in AI and cloud deliver efficiency and new contracts, the company could return to positive organic growth.
What would break the thesis
- The negative organic growth guidance suggests core demand could stay weak and that recovery could be slow.
- Repeated restructuring and asset impairments could point to structural problems in some segments.
- If pressure from global competitors intensifies, margins could be squeezed in traditional segments.
What to watch
- Quarterly results and organic growth versus guidanceQ1 2026
- Adjusted EBITA margin against the 2026 guidance range2026
- Progress of the share buyback programme and announced acquisitions2026
- Impact of restructuring costs and impairments on net resultnext 10-K
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
Tieto Oyj (also called Tietoevry in its filings) provides software services and digital development and consulting services. It helps clients modernise their operations, innovate and improve operational efficiency. Its structure includes four business areas - Tieto Tech Consulting, Tieto Banktech, Tieto Caretech and Tieto Indtech - supported by common group functions. Revenue in fiscal 2025 was 1852.3 mn euro 1.
The company has adapted its strategy to cloud-native software markets, letting each business area manage its own investments, offerings and partnerships. It also announced the sale of its Norwegian unit Bekk Consulting to Axcel, completed on 2 February 2026, and the purchase of Spanish technology consulting and anti-fraud service companies with combined revenue of about 10 mn euro 1.
The company is listed on NASDAQ Helsinki, Stockholm and Oslo with a single share class. The board proposed a dividend of 0.88 euro per share for fiscal 2025, paid in two instalments, and a share buyback programme 1.
Segments
Tieto Banktech
The most dynamic segment in 2025, with adjusted EBITA up 40 percent year on year and a margin of 17.3 percent 1.
Tieto Tech Consulting
The technology consulting segment saw adjusted EBITA fall 6 percent in 2025, with a margin of 11.9 percent 1.
Tieto Caretech
The healthcare and care segment had the group's highest margin in 2025, but adjusted EBITA declined slightly 1.
Market context
The company operates in cloud software and digital services markets in Northern Europe, with clients in banking, healthcare, industry and the public sector. Management describes these markets as being transformed by automation and artificial intelligence 1.
Organic growth depends on client investment pace and price pressure. The 2026 guidance points to organic growth between -2 and 0 percent, suggesting a market still cautious about traditional digital services demand 1.
Trends
- Artificial intelligencemixed
Management sees AI-driven automation of routine tasks as potentially creating new revenue and speeding digital service development, but also carrying risks around privacy, algorithmic bias and energy use 1.
- EU AI regulationmixed
The company is preparing for the EU AI Act with a risk assessment of all AI-using products. Compliance costs could rise, but may strengthen client trust 1.
- Banking software modernisationtailwind
Demand for cloud platforms and banking system modernisation could support growth in the Banktech segment, which posted the group's strongest gain 1.
- Pressure on demand for traditional servicesheadwind
The negative organic growth guidance suggests demand for classic consulting and development services could stay weak in 2026 1.
Competitive position
Tieto competes with international IT services and consulting firms, as well as specialised software vendors for banks, healthcare and industry. Competition turns on price, sector expertise and the ability to deliver cloud and AI solutions 1.
Competitive position depends on combining consulting services with vertical software products. The sources do not give market shares, so the assessment stays qualitative 1.
- AccentureACN
Global consulting and technology services firm, also active in similar digital transformation projects.
- CognizantCTSH
Global IT services and consulting company competing in software modernisation projects.
- Capgemini
European consulting and technology services provider with presence in the same Nordic markets.
- Regional Nordic banking software vendors
Regional providers specialised in banking platforms, competing in the Banktech segment.
News & filings
In the press
No news in our archive over the last 180 days.
Annual reports (ESEF)
- Annual report 202517 Feb 2026
- Annual report 202517 Feb 2026
- Annual report 202517 Feb 2026
Sources
- [1] Annual report, fiscal year ended 2025-12-31 (ESEF) · SEC / Tieto Oyj · 31 Dec 2025
Figures computed by olivLaw from ESEF annual reports and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.