Want to see NL:TOM2 full AI Analyst Report?
TomTom (TOM2) AI Stock Analysis
TomTom
(Amsterdam:TOM2)
The score is supported mainly by improved profitability and very strong gross margins alongside a low-leverage balance sheet, reinforced by earnings-call guidance pointing to further margin improvement and cost savings. Offsetting this, revenue remains in decline with contract phase-outs and restructuring impacts, while technical signals show a weak intermediate/long-term trend (price below key moving averages and negative MACD). Valuation is moderate (P/E ~15.2) but lacks dividend support based on the provided data.
TomTom (TOM2) vs. iShares MSCI Netherlands ETF (EWN)
- Market Cap
- EUR 620.13M
- Dividend Yield
- ―
- Average Volume (3M)
- 287.82K
- Price to Earnings (P/E)
- 14.9
- Beta (1Y)
- 1.42
- Revenue Growth
- -7.40%
- EPS Growth
- ―
- Country
- Netherlands
- Employees
- 3,300
- Sector
- Technology
- Sector Strength
- 61
- Industry
- Software - Application
TomTom Business Overview & Revenue Model
Company Description
TomTom N.V., a Dutch company established in Amsterdam in 1991, is a global provider of navigation and location-based products and services. The company operates through two primary divisions: Location Technology and Consumer. Its offerings include a...
How the Company Makes Money
TomTom primarily makes money by licensing its location technology and selling related services to business customers. A key revenue stream is Automotive, where TomTom provides car manufacturers and automotive suppliers with embedded navigation softwa...
TomTom Earnings Call Summary
The call was predominantly positive. TomTom reported improved gross margin, operating profitability, stronger cash generation, a solid net cash position, and a higher full-year operating margin outlook. Management also highlighted strategic opportunities in automated driving, enterprise location intelligence, AI integrations, and partnerships with DeepRoute.ai and Microsoft. These positives were tempered by a 6% group revenue decline, declines across automotive, enterprise, and consumer revenue, ongoing customer contract phase-outs, approximately 200 affected roles, and an upcoming EUR 15 million restructuring charge. AI monetization was described as an early-stage opportunity rather than an established revenue contributor.
Q3-2026 Updates
Positive Updates
Negative Updates
Company Guidance
For 2026, TomTom expects group revenue of EUR 505 million-EUR 530 million, Location Technology revenue of EUR 450 million-EUR 470 million, and an operating margin of around 4%, including a restructuring charge of approximately EUR 15 million expected in the fourth quarter; excluding this one-off charge, operating margin is expected to be around 7% for the full year, with annualized savings for the organizational realignment estimated at approximately EUR 21 million. In the fourth quarter, apart from the EUR 15 million, full OpEx is expected to be slightly lower than what was reported in Q3 sequentially. For 2027, the company reiterates expectations of Location Technology revenue growth, supported by increasing gross margin and a more efficient cost base; the enterprise customer contract phase-out will take another three quarters to be fully phased out, although the exact quantity is not something that can be disclosed.
TomTom Financial Statement Overview
Summary
Profitability has rebounded with positive TTM net income (~5.9% margin), strong EBIT margin (~11.6%), and exceptionally high gross margin (~90%). The balance sheet is conservatively financed with very low leverage (debt-to-equity ~0.05). Offsetting this, revenue has been trending down and cash flow quality/consistency is mixed (free cash flow meaningfully below net income and historical volatility).
Income Statement
62PositiveBalance Sheet
79PositiveCash Flow
60Neutral| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 523.86M | 554.69M | 574.38M | 584.76M | 536.34M | 506.93M |
| Gross Profit | 471.68M | 490.56M | 487.51M | 495.77M | 449.72M | 407.11M |
| EBITDA | 77.74M | 20.88M | 25.87M | 31.56M | -36.94M | -11.47M |
| Net Income | 31.11M | -6.40M | -17.29M | -21.01M | -102.73M | -94.65M |
Balance Sheet | ||||||
| Total Assets | 704.48M | 716.19M | 724.42M | 795.89M | 807.50M | 890.74M |
| Cash, Cash Equivalents and Short-Term Investments | 239.37M | 262.80M | 263.65M | 315.19M | 303.73M | 355.82M |
| Total Debt | 39.93M | 40.35M | 43.52M | 46.71M | 37.73M | 33.34M |
| Total Liabilities | 542.57M | 576.57M | 585.57M | 614.30M | 607.90M | 608.02M |
| Stockholders Equity | 161.91M | 139.62M | 138.85M | 181.59M | 199.61M | 282.72M |
Cash Flow | ||||||
| Free Cash Flow | 23.01M | 43.59M | -4.22M | 20.84M | -41.57M | 23.51M |
| Operating Cash Flow | 35.75M | 46.91M | 1.35M | 32.70M | -31.41M | 36.78M |
| Investing Cash Flow | -3.83M | -8.61M | 14.35M | -53.55M | -30.77M | -19.98M |
| Financing Cash Flow | -23.64M | -10.27M | -47.89M | -23.46M | -10.32M | -43.66M |
TomTom Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NL:TOM2, the sentiment is Neutral. The current price of 3.74 is below the 20-day moving average (MA) of 3.75, below the 50-day MA of 3.84, and below the 200-day MA of 4.49, indicating a neutral trend. The MACD of -0.03 indicates Negative momentum. The RSI at 53.62 is Neutral, neither overbought nor oversold. The STOCH value of 44.78 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for NL:TOM2.
TomTom Peers Comparison
Overall Rating
NL:ADYEN75Outperform- NL:TOM263Neutral
NL:CMCOM49Neutral
NL:MTRK34Underperform
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| NL:ADYEN | 75Outperform | EUR 27.07B | 25.00 | 20.11% | ― | 16.73% | 12.21% |
| NL:TOM2 | 63Neutral | EUR 473.84M | 14.91 | 20.71% | ― | -7.40% | ― |
| Sector * | 61Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% |
| NL:CMCOM | 49Neutral | EUR 198.67M | -29.05 | -26.35% | ― | -5.42% | 83.35% |
| NL:MTRK | 34Underperform | EUR 114.96M | -9.04 | ― | ― | 0.08% | -2.81% |
* Technology Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| NL:TOM2 | Tomtom Nv | 3.74 | -1.39 | -27.17% | |
| NL:ADYEN | Adyen NV | 892.50 | -444.70 | -33.26% | |
| NL:CMCOM | CM.com N.V. | 6.10 | 0.85 | 16.19% | |
| NL:MTRK | MotorK PLC | 2.35 | -1.81 | -43.51% |
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.
Date of analysis: Oct 17, 2026