Temenos Group AG (TEMN) fair value: what the stock is really worth
As of Nov 6, 2026: fair value (intrinsic value) of Temenos Group AG stock CHF 90.01, price CHF 79.15, upside +13.7%, quality 86 out of 100. Rating: undervalued. Calculated from audited financials with 24 of our 26 valuation models and 37 quality factors, updated daily.
69 individual criteria per stock, every one traceableSee the method →
Price vs Fair Value
White line = price, green steps = our fair value per fiscal year. As of Nov 7, 2026.
How to read this chart
60‑month range CHF 46.24 – CHF 136.50 · fair‑value band CHF 50.38 – CHF 124.14 · the CHF 79.15 price screens below the CHF 90.01 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). As of Nov 7, 2026.
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Temenos AG develops, markets, and sells integrated banking software systems to banking and other financial services institutions in North America, Europe, the Middle East and Africa, Latin America, and the Asia-Pacific. It operates through two segments, The Product and Service.
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The Product segment is primarily engaged in marketing, licensing and maintaining the Group's software solutions, including software development fees for requested functionality, as well as providing hosting and subscription arrangements.
The Services segment represents various implementation tasks, such as consulting and training. It also offers retail and business; corporate and commercial; and wealth management solutions. The company was formerly known as Temenos Group AG and changed its name to Temenos AG in May 2018.
Temenos AG was founded in 1993 and is headquartered in Lancy, Switzerland.
Stock analysis
Temenos Group AG (TEMN) currently trades at CHF 79.15, while our model-based Fair Value estimate is CHF 90.01, implying the stock looks roughly 12% undervalued today.
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Valuation
Bull case: the Multiples group reads highest at a median of CHF 99.31 per share, and 11 of the 24 models we run sit above the CHF 79.15 price.
Bear case: the Dividend Discount group reads lowest at CHF 27.58, and 13 of the 24 models stay below the price. Data coverage for this calculation is high.
Scenario range: CHF 50.38 (bear) to CHF 124.14 (bull), the price of CHF 79.15 sits inside it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 86/100 (high quality), in the Technology sector.
Healthy Growth: Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Temenos Group AG reported revenue of $1.1B in FY2025 versus $967M in FY2021, a compound +4.3%/yr. Reported net income was $294M in FY2025, compounding +14.1%/yr from FY2021.
Key figures
Market cap CHF 5.3B Mid · P/E ratio 31.7 · P/S ratio 5.68 · EPS (TTM) CHF 2.50 · Dividend yield 1.8% · Net margin 18.6% · Return on equity 43.1% · Return on assets (EBIT) 11.9% (5-year average).
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 83 out of 100 (low confidence).
What moves the price
The last reported earnings sit well below what analysts expect (earnings in transition, for example after write-downs or an earnings dip); whether the stock is cheap or expensive hinges on the expected recovery actually arriving. Read the fair value with that caveat.
The share trades about 5% below its 52-week high and 29% above its 52-week low, currently above its 200-day average.
For context, the median of 10 Technology peers we cover trades at 10% fair-value upside, at 14%, TEMN screens cheaper than that median.
Fair Value models
BearCHF 50.38Fair Value CHF 90.01BullCHF 124.14
Price CHF 79.15 · Upside +13.7%
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above starts from their evidence-weighted blend, not from a single model. In cyclical trough or peak years, after dilution or a stock split it is adjusted afterwards, so it can sit above or below the models. Based on fiscal year 2025 figures (about 10 months old). Earnings retained since then (CHF 0.8992 per share) are deliberately not added.Bear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Coverage ⓘCoverage = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.79/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Revenue growth 1 year
+9.4%
Revenue growth 3 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+6.4%
Revenue growth 5 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+5.2%
Start year 2020 (pandemic). Over 10 years: +7.7% a year
Revenue growth 23 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+10.6%
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What shareholders gained per year (last 5 years) (mathematically smoothed) ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 5 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate. Smoothed = median of all growth paths between the years of the window (trend line on the logarithm of earnings per share): a single extreme year cannot distort the rate. The reported figure stays in the tooltip.
+13.7%
Earnings growth per share plus dividend.
Earnings per share, growth per year+11.9%
Dividend (yield on the price)1.8%
Pace: 5 vs 10 years ⓘTwo data points, not a trend model: earnings growth per share over the last 5 fiscal years against the last 10. Labelled "steady" when both rates are within 3 percentage points of each other, otherwise picking up or flattening. Shown only when ten years of history exist.11.8% vs 12.2%, steady
Profit margin 2020 to 2025 ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.26% → 45%
2025 sits 126% above its own trend. The rate follows the median trend of the last 5 years, not that single year.
Pace: the 5-year rate starts in 2020 (pandemic)
Growth Forecast
Price in line with expectations
The price assumes about as much growth as the company has delivered so far and about what analysts expect.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
+5.9%
Yearly growth needed for the next five years to justify today's price.
What forecasts expect ⓘAnalysts publish sales forecasts for the next two fiscal years. For the years after that, growth slows evenly to 2 % a year by year ten (2 % is the long-run rate our models use). Projected years are marked as such.
+5.8%
Yearly sales growth analysts expect, extended to five years.
After inflation (figures in USD, USA: IMF forecast 2.4% a year to 2030, 3.1% from 2016 to 2025) that is about +3.5% a year for the price and +3.3% for the forecasts.
News mood ⓘNews mood, the average tone of recent news (98 articles), rated against how stocks are usually covered. 🚀 Hype = unusually upbeat · 🙂 Positive = above average · 😐 Neutral = typical · 🙁 Negative = below average · 😨 Very negative = unusually downbeat. It reflects the tone of coverage, not our valuation.Hype
Recent news coverage is unusually upbeat, far more positive than stocks are typically covered.
AI conclusion: High margins and ROE stand as the main strength, while thin public signals for durable moat elements remain the central weakness.
Main risk: Integration demands from the additiv acquisition could slow existing momentum and reduce new core platform implementations.
Temenos has completed its acquisition of additiv, adding AI orchestration tools to strengthen wealth management offerings alongside its core banking platform. This targets banks fighting to retain customers amid rising expectations in the AI era. Will the expanded capabilities drive more new implementations than integration demands slow existing momentum?
Price, fair value, quality and upside side by side.
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Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Software - Application · 630 stocks
Beats the industry median on 8/14 measures
A mixed picture versus its industry peers.
Valuation
Quality Score86 · Top 25%
Fair Value upside+13.7% · Above median
Profitability
Return on equity (12 months)43.1% · Top 25%
Return on assets13.1% · Top 25%
Net margin (12 months)18.6% · Top 25%
Operating margin (12 months)29.0% · Top 25%
Growth and dividend
Revenue growth (quarter YoY)13.1% · Above median
Dividend yield (12 months)1.8% · Above median
Balance sheet
Debt / equity1.61× · Highest 25%
Valuation Multiplesvs Software - Application median · lower = cheaper
P/E (12 months)31.7× · Pricier than median
P/B13.58× · book value is mostly goodwill ⓘGoodwill and other intangible assets are larger than the equity. The book value mainly reflects prices paid for past acquisitions, so we do not rank this P/B against the peer group.
P/S (12 months)5.68× · Priciest 25%
Price / free cash flow (fiscal year)18.6× · Pricier than median
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Cite: Fair Value Calculator (2026). "Temenos Group AG Fair Value". https://www.fairvalue-calculator.com/stock/TEMN
Frequently asked questions
Is Temenos Group AG (TEMN) overvalued or undervalued?
As of Nov 7, 2026, our model estimates a fair value of CHF 90.01 versus a price of CHF 79.15, about +14% upside (undervalued).
What is the fair value of TEMN?
Our model-based fair value for Temenos Group AG is CHF 90.01 (as of Nov 7, 2026), built from audited fundamentals. The current price: CHF 79.15.
What is the quality score of TEMN?
Temenos Group AG has a Quality Score of 86/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for Temenos Group AG (TEMN)?
Our model-based price target is the fair value of CHF 90.01 (as of Nov 7, 2026) from 24 valuation models. Cautious scenario CHF 50.38, optimistic scenario CHF 124.14. It is a calculation from audited fundamentals, not an analyst target.
What is the Temenos Group AG stock forecast for 2026?
Our models put fair value at CHF 90.01, about +14% upside versus a price of CHF 79.15 (undervalued). Cautious scenario CHF 50.38, optimistic scenario CHF 124.14. The calculation is refreshed regularly with new filings.
What is the revenue of Temenos Group AG (TEMN)?
Temenos Group AG reported trailing-twelve-month revenue of about $1.1B (latest available figure, as of Nov 7, 2026).
Does Temenos Group AG pay a dividend?
Temenos Group AG currently shows a dividend yield of 1.83% relative to its recent price (as of Nov 7, 2026).
How much is the dividend of Temenos Group AG (TEMN) and when is the ex-dividend date?
Temenos Group AG pays a dividend of CHF 1.45 per share a year, a dividend yield of 1.8%. The last ex-dividend date was May 18, 2026. A dividend has been paid every year since at least 2013. The payout ratio is 40.8% of earnings. Free cash flow covers the dividend 2.91 times. Our assessment: Well covered. A low payout and the dividend is fully funded by free cash flow, a comfortable, sustainable dividend.
What growth is priced into Temenos Group AG (TEMN)?
For today's price to be fair in a discounted-cash-flow model, Temenos Group AG would have to grow free cash flow by +5.9 % per year for five years (discount rate 8.3 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew +5.2 % per year. As of Nov 7, 2026.
What discount rate (WACC) does the fair value of TEMN use?
Our models discount Temenos Group AG at 8.3 %: a base by market capitalisation (mid), damped by beta 0.50, country premium for Switzerland. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For Temenos Group AG that is +5.9 % per year for five years, then slowing evenly to 2 % by year ten, using the same discount rate (8.3 %) and the same formula as our fair value.
How much growth has Temenos Group AG (TEMN) delivered so far?
Over the past 5 years revenue at Temenos Group AG grew +5.2 % a year. The price currently implies free-cash-flow growth of +5.9 % per year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of Temenos Group AG (TEMN) growing?
The median revenue growth in the sector is +11.5 % a year. That is the yardstick for the growth priced into Temenos Group AG (+5.9 % per year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of Temenos Group AG (TEMN)?
The free-cash-flow yield on the price is 5.38 %: that much free cash flow Temenos Group AG produces per unit of market value. When it exceeds the discount rate of our models (8.3 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of Temenos Group AG (TEMN)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Temenos Group AG it is CHF 90.01 per share (as of Nov 7, 2026), against a price of CHF 79.15. It is the blended result of 24 valuation models in 7 families (DCF Models, Earnings-Based, Dividend Discount, Multiples, Growth DCF, Economic Profit, Growth Earnings).
Is Temenos Group AG stock overvalued or undervalued in 2026?
As of Nov 7, 2026, TEMN trades below its calculated fair value: price CHF 79.15, fair value CHF 90.01, a gap of about +14% (undervalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of TEMN?
No. The price is what the market pays today (CHF 79.15); the fair value is what the company's own numbers justify (CHF 90.01). For Temenos Group AG the two are CHF 10.86 per share apart. That gap is exactly why we show both numbers side by side.
How much is Temenos Group AG worth?
The market values Temenos Group AG at about CHF 5.3B (market capitalisation, as of Nov 7, 2026). Per share that is CHF 79.15; our models calculate a fair value of CHF 90.01 per share.
What do the bullish and bearish scenarios say about TEMN?
Our models span a range for Temenos Group AG: cautious scenario CHF 50.38, base CHF 90.01, optimistic CHF 124.14 per share (as of Nov 7, 2026, price CHF 79.15). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of TEMN?
Temenos Group AG trades at a price-to-earnings ratio of 31.7 (as of Nov 7, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of CHF 90.01 is built from several models across several years. Median P/E at fiscal year-end, 10 fiscal years (2016 to 2025), reported earnings, FY2025 ex one-offs: 51.1. Other multiples: PEG 2.8, P/B 13.6, P/S 5.7, EV/EBITDA 21.9.
What is the PEG ratio of TEMN?
The PEG ratio of Temenos Group AG is 2.80 (P/E divided by earnings growth, as of Nov 7, 2026). That is above 1, so the growth is already paid for in the price.
How solid is the balance sheet of Temenos Group AG (TEMN)?
Balance-sheet figures for Temenos Group AG (as of Nov 7, 2026): return on equity 43.1%, debt of 1.61 per unit of equity. They feed the Quality Score of 86/100, which measures business quality independently of the share price.
How far is TEMN from its 52-week high?
Temenos Group AG trades at CHF 79.15, about 5% below its 52-week high of CHF 83.04 and 29% above the low of CHF 61.30 (as of Nov 6, 2026). Distance from the high says nothing about value: that is what the fair value of CHF 90.01 is for.
Which stocks are comparable to Temenos Group AG?
From the same area (Technology) we also value SAP SE, Salesforce, Inc, Shopify Inc, ServiceNow, Inc, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is Temenos Group AG stock attractive at the current price?
The data as of Nov 7, 2026: price CHF 79.15, calculated fair value CHF 90.01 (+14%), Quality Score 86/100, from 24 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of TEMN calculated?
We run Temenos Group AG through 24 models from 7 families: DCF Models, Earnings-Based, Dividend Discount, Multiples, Growth DCF, Economic Profit, Growth Earnings. Every model gets the same audited fundamentals; the fair value of CHF 90.01 builds on their evidence-weighted average, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 13.0% above its aggregate fair value. Temenos Group AG currently trades 12% below its own fair value, and the market average says nothing about that. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of Temenos Group AG (TEMN)?
The closing price on Nov 6, 2026 was CHF 79.15. Our model-based fair value is CHF 90.01, about +14% upside (undervalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with Temenos Group AG right now?
A fairly wide model range (CHF 50.38 to CHF 124.14) leaves room in how you read the outcome. The price sits in the lower half of our model range, the side with the larger margin of safety. The data supports the verdict: every model runs on fully documented inputs.
Where does the earnings growth of Temenos Group AG (TEMN) come from?
Earnings per share at Temenos Group AG grew +9.0 % a year from 2014 to 2025. Broken into its drivers: revenue per share +7.4 %, EBIT margin +3.2 %, tax rate −0.5 %, residual (interest, one-offs) −1.2 %. The four rates multiply to the earnings growth rate, they do not add up. Start and end are three-year averages so a single exceptional year does not distort the result.
Key figures of Temenos Group AG
How large is the market capitalisation of Temenos Group AG (TEMN)?
The market capitalisation of Temenos Group AG is CHF 5.3B. The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of Temenos Group AG (TEMN)?
The price-to-sales ratio of Temenos Group AG is 5.68 (last twelve months). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of Temenos Group AG (TEMN)?
Earnings per share at Temenos Group AG are CHF 2.50 (price ÷ EPS = P/E 31.7). Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of Temenos Group AG (TEMN)?
The dividend yield of Temenos Group AG is 1.8% (payout 57.9%). Yearly dividend relative to the share price. 3% pays 3 per 100 invested. Below: how much of profit is used for it.
What is the net margin of Temenos Group AG (TEMN)?
The net margin of Temenos Group AG is 18.6% (last twelve months). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of Temenos Group AG (TEMN)?
The return on equity (ROE) of Temenos Group AG is 43.1% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of Temenos Group AG (TEMN)?
On an EBIT basis the return on assets of Temenos Group AG is 11.9% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of Temenos Group AG (TEMN)?
The operating margin of Temenos Group AG is 29.0% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Temenos Group AG (TEMN)?
Revenue at Temenos Group AG is growing +13.1% versus a year earlier (3y avg +6.4%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at Temenos Group AG (TEMN)?
Earnings per share at Temenos Group AG are growing +41.5% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net debt does Temenos Group AG (TEMN) carry?
The net debt of Temenos Group AG is $605M (fiscal year 2025, ≈ 1.7 yrs of FCF). Debt minus cash on hand. The note shows how many years of free cash flow could in theory pay it off.
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Broad data
Nov 7, 2026