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74Software (74SW) Fair Value & Analysis

Technology · FR · Market cap €1.0B

7 74Software 74SW · PA
Price€38.50
Fair Value€33.40
Upside-13.3%
Quality37/100
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Healthy Growth
Thin margins · 5.8% net margin
Low debt · generates free cash flow
Ranks above peers (8/13)
Moderate moat 46/100
Evidence: High Range €19.98 – €41.74 Share as image

Fair value as of: Jul 19, 2026

From 23 valuation models · updated 22 days ago

Share price +6.4% over the past month.

Below-average quality, and screening another 13% overvalued on our models.

What matters now

  • A fairly wide model range (€19.98 to €41.74) leaves room in how you read the outcome.
  • Our model range runs from €19.98 (bear) to €41.74 (bull), base €33.40. The closer the price sits to the lower half, the larger the margin of safety.
  • Quality 37/100 (below-average quality) with high evidence: the data supports the verdict.
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Price vs Fair Value (5 years)

€44.20 €15.04 Fair Value €33.40 Jun 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 19, 2026.

How to read this chart

60‑month range €15.04 – €44.20 · fair‑value band €19.98 – €41.74 · the €38.50 price screens above the €33.40 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 19, 2026.

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Analysis

74Software (74SW) currently trades at €38.50, while our model-based Fair Value estimate is €33.40, implying the stock looks roughly 13.3% overvalued today. The Quality Score stands at 37/100 (below-average quality), in the Technology sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, 74Software generated revenue of €707M at a net margin of 5.8%. Revenue grew 16.0% year over year. It earns a return on equity of 7.5%. Net debt stands at €193M. Fundamentals as of Jul 19, 2026

Our scenario range runs from €19.98 (bear case) to €41.74 (bull case); at €38.50, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. 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 14% below its 52-week high and 45% above its 52-week low, currently above its 200-day average. For context, the median of 10 Technology peers we cover trades at -27% fair-value upside, at -13%, 74SW screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model BearBaseBull Evidence
Highest evidence
Growth DCF €23.12 €38.99 €61.10 80
Residual Income €14.65 €15.14 €15.36 76
Rev-Margin DCF €20.92 €38.43 €60.35 74
All 23 models by family
DCF Models
FCF DCF €23.38 €41.01 €66.92 38
5Y Revenue Exit €20.92 €38.62 €61.99 39
5Y EBITDA Exit €27.42 €51.64 €81.28 41
5Y P/E Exit €16.86 €30.49 €45.42 38
10Y Revenue Exit €20.77 €36.75 €59.89 36
10Y EBITDA Exit €25.40 €45.32 €74.22 37
10Y P/E Exit €19.07 €31.39 €47.58 35
Earnings-Based
Graham-Dodd €9.54 €39.92 €54.45 54
Lynch FV €10.12 €14.45 €18.79 50
PEG = 1.0 €10.12 €14.45 €18.79 46
EPV €13.73 €16.43 €18.69 59
Multiples
P/E Multiple €21.05 €28.06 €35.08 63
P/S Multiple €17.89 €23.85 €29.82 58
P/B Multiple €17.89 €23.85 €29.82 55
EV/EBIT €33.05 €46.11 €59.17 53
EV/EBITDA €33.78 €47.09 €60.40 54
EV/Revenue €20.28 €31.60 €42.92 43
Asset-Based
NCAV (Graham) €9.52 €12.75 €19.04 50
Growth DCF
Growth DCF €23.12 €38.99 €61.10 80
Rev-Margin DCF €20.92 €38.43 €60.35 74
Economic Profit
Residual Income €14.65 €15.14 €15.36 76
ROIC Compounder €13.73 €16.43 €18.69 72
Growth Earnings
Growth-Adj P/E €16.76 €23.94 €31.13 68

Widest divergence: DCF Models (€38.62) versus Asset-Based (€12.75). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) €707M
Revenue growth (YoY) +16.0%
Net margin 5.8%
Return on equity 7.5%
Free cash flow €84.1M FY2025
P/E ratio 26.2
More key figures
Operating margin 15.0%
EPS (TTM) €1.36
EPS growth (YoY) -17.4%
Net debt €193M FY2025

Figures from reported company fundamentals · as of Jul 19, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 37/100

Of which business quality 41 · Market factors (momentum, volatility) 60

Profitability 43
Margins and returns on capital today
Quality Growth 71
Are margins and returns improving?
Cashflow 54
Earnings quality: real cash, not paper profit
Fin. Strength 49
Balance sheet, leverage, solvency risk
Investment 10
Disciplined investing over empire-building
Low Volatility 74
Calm price path (market factor)
Momentum 53
Price trend over the last 3–12 months (market factor)
52W Momentum 57
Distance to the 52-week high (market factor)
Net Issuance 0
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

74Software operates as a software company in France. The company offers amplify platform that publish, validate, and govern APIs across multiple clouds, on-premises data centers, and gateway vendors; B2B integration, a structured and automated data exchange between organizations, enabling efficient, compliant and traceable business and supply chain …

Full company description

74Software operates as a software company in France. The company offers amplify platform that publish, validate, and govern APIs across multiple clouds, on-premises data centers, and gateway vendors; B2B integration, a structured and automated data exchange between organizations, enabling efficient, compliant and traceable business and supply chain processes; managed file transfer that secure critical file transfers under the axway brand name; application programming interface management, which provides applications to communicate and exchange services and data; Integration Platform as a Service, a cloud-based integration solutions, as well as financial accounting hub for integration, transformation and control of financial data under the axway brand name. It also provides specialty products that offers visibility, intelligence, and security across the digital ecosystem. In addition, the company offers banking and financing platform under SBS brand name. The company serves financial services, manufacturing, retail, public sector, transport and logistic, and healthcare sectors. 74Software was formerly known as Axway Software SA and changed its name to 74Software in December 2024. The company was incorporated in 2000 and is headquartered in Scottsdale, Arizona.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

74Software reported revenue of €707M in FY2025 versus €286M in FY2021, a compound +25.4%/yr. Reported net income was €40.8M in FY2025, compounding +43.6%/yr from FY2021.

Growth Quality 90/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
€707M
Latest YoY
+53.1%
Avg. growth/yr (3Y)
+31.1%
Avg. growth/yr (5Y)
+18.9%
Avg. growth/yr (16Y)
+8.8%
Revenue +25.4%/yr
FY21 €286M
FY22 €314M
FY23 €319M
FY24 €462M
FY25 €707M
Net income +43.6%/yr
FY21 €9.6M
FY22 −€40.0M
FY23 €35.8M
FY24 €39.2M
FY25 €40.8M

74SW screens 13% overvalued. Compare with SAP SE →

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Cite: Fair Value Calculator (2026). "74Software Fair Value". https://www.fairvalue-calculator.com/stock/74SW

Peer Group

Software - Application · 709 stocks

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.

Quality Score 37 · Bottom 25%
Fair Value upside −13% · Above median
Return on equity (TTM) 8% · Above median
Return on assets 4% · Above median
Net margin (TTM) 6% · Above median
Operating margin (TTM) 15% · Above median
Revenue growth 16% · Above median
Debt / equity 0.41× · Higher than 75% of peers

Valuation Multiples vs Software - Application median · lower = cheaper

P/E (TTM) 26.2× · Pricier than median
P/B 2.16× · Pricier than median
P/S (TTM) 1.69× · Cheaper than median
P/FCF 14.2× · Pricier than median
EV/EBITDA 13.1× · Cheaper than median

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 16 · sector 0
FUTURE 80 · sector 38
PAST 30 · sector 13
HEALTH 80 · sector 98
DIVIDEND 0 · sector 28

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Software - Application stocks, each showing price versus our Fair Value estimate (as of Jul 19, 2026).

Stock Price Fair Value vs Fair Value
SAP SE SAPS C$12.69 C$16.26 +28%
Shopify Inc SHOP C$173.23 C$20.54 -88%
Uber Technologies, Inc UBER $72.67 $51.11 -30%
Salesforce, Inc CRM $170.77 $182.10 +7%
ServiceNow, Inc NOW $107.71 $33.12 -69%
Cadence Design Systems, Inc CDNS $384.17 $80.41 -79%
Snowflake Inc SNOW $271.87 $34.04 -87%
Adobe Inc ADBE $230.61 $379.48 +65%
Automatic Data Processing, Inc ADP $241.92 $177.51 -27%
Intuit Inc INTU $291.09 $258.69 -11%

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Frequently asked questions

Is 74Software (74SW) overvalued or undervalued?
As of Jul 19, 2026, our model estimates a fair value of €33.40 versus a price of €38.50, about −13% (overvalued).
What is the fair value of 74SW?
Our model-based fair value for 74Software is €33.40 (as of Jul 19, 2026), built from audited fundamentals. The current price is €38.50.
What is the quality score of 74SW?
74Software has a Quality Score of 37/100. 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 revenue of 74Software (74SW)?
74Software reported trailing-twelve-month revenue of about €707M (latest available figure, as of Jul 19, 2026).
What is the net profit margin of 74SW?
The net profit margin of 74Software is about 5.8%, meaning it keeps roughly 5.8% of revenue as net income. Based on the latest reported figures.

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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